Xencor Inc (XNCR)

Working capital turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	186,926	169,417	294,261	130,765	170,319
Total current assets	US$ in thousands	623,160	675,342	424,368	637,672	558,405
Total current liabilities	US$ in thousands	84,709	63,844	70,738	121,061	66,558
Working capital turnover		0.35	0.28	0.83	0.25	0.35

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $186,926K ÷ ($623,160K – $84,709K)
= 0.35

Xencor Inc's working capital turnover has fluctuated over the past five years. The working capital turnover ratio measures how effectively a company is using its working capital to generate sales revenue.

In 2021, the ratio was relatively high at 0.78, indicating that Xencor was able to efficiently generate sales using its working capital. However, this ratio dropped significantly in 2022 to 0.27, suggesting a decline in the efficiency of working capital utilization.

The company then saw a notable improvement in 2023, with a working capital turnover of 0.31. Although this ratio is lower compared to 2021, the increase from the previous year indicates a recovery in the efficiency of working capital management.

Overall, Xencor's working capital turnover has shown variability in recent years, reflecting fluctuations in the company's ability to generate revenue relative to its working capital. Continued monitoring of this ratio will be important to assess the company's ongoing operational efficiency and financial performance.