Visteon Corp (VC)
Working capital turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 3,866,000 | 3,917,000 | 3,951,000 | 3,920,000 | 3,954,000 | 4,028,000 | 4,040,000 | 3,905,000 | 3,756,000 | 3,478,000 | 3,083,000 | 2,845,000 | 2,773,000 | 2,774,000 | 2,890,000 | 2,651,000 | 2,548,000 | 2,505,000 | 2,489,000 | 2,851,000 |
| Total current assets | US$ in thousands | 1,596,000 | 1,702,000 | 1,641,000 | 1,630,000 | 1,616,000 | 1,622,000 | 1,597,000 | 1,664,000 | 1,710,000 | 1,594,000 | 1,399,000 | 1,451,000 | 1,424,000 | 1,233,000 | 1,244,000 | 1,292,000 | 1,341,000 | 1,268,000 | 1,426,000 | 1,583,000 |
| Total current liabilities | US$ in thousands | 916,000 | 937,000 | 887,000 | 938,000 | 931,000 | 948,000 | 911,000 | 964,000 | 1,035,000 | 980,000 | 801,000 | 849,000 | 852,000 | 711,000 | 755,000 | 775,000 | 824,000 | 788,000 | 598,000 | 729,000 |
| Working capital turnover | 5.69 | 5.12 | 5.24 | 5.66 | 5.77 | 5.98 | 5.89 | 5.58 | 5.56 | 5.66 | 5.16 | 4.73 | 4.85 | 5.31 | 5.91 | 5.13 | 4.93 | 5.22 | 3.01 | 3.34 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $3,866,000K ÷ ($1,596,000K – $916,000K)
= 5.69
Visteon Corp's working capital turnover ratio has been relatively stable over the past few years, ranging between 3.01 and 5.98. The working capital turnover ratio measures how efficiently a company is using its working capital to generate sales revenue.
A higher turnover ratio indicates that Visteon Corp is effectively utilizing its working capital to support its operations and generate sales. The increasing trend seen from September 2020 to September 2023 suggests that the company has improved its efficiency in managing its working capital.
However, there was a slight decrease in the ratio from March 2024 to December 2024, indicating a potential slowdown in the company's ability to turn working capital into sales during that period.
Overall, Visteon Corp's working capital turnover ratio reflects a generally positive trend, indicating efficient management of working capital to support the company's revenue generation activities. Monitoring this ratio over time can provide insights into the company's operational efficiency and financial performance.
Peer comparison
Dec 31, 2024