Watts Water Technologies Inc (WTS)
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 | 2,252,200 | 2,259,300 | 2,220,000 | 2,155,500 | 2,056,300 | 2,010,700 | 1,994,200 | 1,988,000 | 1,979,500 | 1,951,500 | 1,918,700 | 1,859,100 | 1,809,200 | 1,738,700 | 1,667,600 | 1,539,300 | 1,508,600 | 1,505,500 | 1,516,300 | 1,594,400 |
| Total current assets | US$ in thousands | 1,083,500 | 1,065,600 | 1,061,000 | 1,010,000 | 1,061,000 | 1,041,600 | 1,023,100 | 1,013,800 | 950,600 | 936,800 | 967,700 | 919,900 | 861,500 | 863,000 | 843,900 | 774,600 | 709,500 | 699,600 | 667,500 | 791,200 |
| Total current liabilities | US$ in thousands | 417,900 | 417,500 | 424,600 | 407,300 | 405,800 | 380,300 | 404,800 | 396,200 | 378,700 | 378,500 | 421,100 | 404,800 | 408,500 | 417,800 | 395,800 | 345,200 | 312,800 | 295,200 | 278,900 | 379,300 |
| Working capital turnover | 3.38 | 3.49 | 3.49 | 3.58 | 3.14 | 3.04 | 3.23 | 3.22 | 3.46 | 3.50 | 3.51 | 3.61 | 3.99 | 3.91 | 3.72 | 3.58 | 3.80 | 3.72 | 3.90 | 3.87 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $2,252,200K ÷ ($1,083,500K – $417,900K)
= 3.38
Watts Water Technologies Inc's working capital turnover has shown varying trends over the given periods. The ratio ranged from a low of 3.04 to a high of 3.99 during this time frame. Overall, the company's ability to efficiently utilize its working capital to generate sales revenue appears to have fluctuated, indicating some level of inconsistency in managing its operating cycle. It is essential for the company to closely monitor and control its working capital components to ensure optimal efficiency in its business operations and sustainably improve its working capital turnover ratio.
Peer comparison
Dec 31, 2024