Vir Biotechnology Inc (VIR)

Working capital turnover

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Revenue US$ in thousands 74,205 86,180 1,580,470 1,087,070 76,368
Total current assets US$ in thousands 1,042,460 1,588,230 2,519,080 1,562,820 772,365
Total current liabilities US$ in thousands 119,662 175,407 511,029 341,242 99,064
Working capital turnover 0.08 0.06 0.79 0.89 0.11

December 31, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $74,205K ÷ ($1,042,460K – $119,662K)
= 0.08

The working capital turnover of Vir Biotechnology Inc has displayed fluctuations over the years. In 2020, the company had a working capital turnover of 0.11, which improved significantly to 0.89 in 2021, indicating a more efficient use of working capital to generate revenue. However, this ratio decreased slightly to 0.79 in 2022, suggesting a slight dip in efficiency. Subsequently, in 2023, the working capital turnover dropped to 0.06, signifying a significant decline in the company's ability to utilize its working capital effectively. The ratio improved marginally to 0.08 in 2024, but it remains relatively low compared to the previous years. This trend indicates some variability in Vir Biotechnology's ability to convert its working capital into sales over the years, highlighting the importance of monitoring and managing working capital efficiently.