Xerox Corp (XRX)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 6,457,000 | 6,579,000 | 6,656,000 | 6,783,000 | 7,029,000 | 7,162,000 | 7,264,000 | 7,275,000 | 7,228,000 | 7,131,000 | 7,170,000 | 7,234,000 | 7,299,000 | 7,375,000 | 7,384,000 | 7,080,000 | 7,189,000 | 7,720,000 | 8,175,000 |
| Total current assets | US$ in thousands | 2,935,000 | 3,011,000 | 3,051,000 | 3,348,000 | 3,177,000 | 3,354,000 | 3,390,000 | 3,640,000 | 4,107,000 | 3,895,000 | 4,102,000 | 4,566,000 | 4,701,000 | 5,236,000 | 5,175,000 | 5,420,000 | 5,783,000 | 6,541,000 | 5,391,000 |
| Total current liabilities | US$ in thousands | 2,619,000 | 2,393,000 | 2,046,000 | 2,438,000 | 2,779,000 | 3,006,000 | 2,949,000 | 2,879,000 | 3,330,000 | 3,343,000 | 3,415,000 | 3,769,000 | 2,829,000 | 2,784,000 | 2,691,000 | 2,645,000 | 2,478,000 | 3,327,000 | 3,791,000 |
| Working capital turnover | 20.43 | 10.65 | 6.62 | 7.45 | 17.66 | 20.58 | 16.47 | 9.56 | 9.30 | 12.92 | 10.44 | 9.08 | 3.90 | 3.01 | 2.97 | 2.55 | 2.18 | 2.40 | 5.11 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $6,457,000K ÷ ($2,935,000K – $2,619,000K)
= 20.43
The working capital turnover ratio for Xerox Corp fluctuates over the periods provided. It increased from 5.11 on June 30, 2020, to a peak of 20.58 on September 30, 2023, before decreasing to 20.43 on December 31, 2024. A higher working capital turnover ratio indicates that the company is efficiently using its working capital to generate sales.
The ratio peaked at 20.58 on September 30, 2023, indicating that Xerox was effectively utilizing its working capital to support sales during that period. However, the ratio dropped to 6.62 on June 30, 2024, and further decreased to 10.65 on September 30, 2024, suggesting a potential inefficiency in working capital management during those quarters.
A sudden increase or decrease in the working capital turnover ratio could signify changes in the company's operational efficiency, potential shifts in sales trends, or variations in the management of working capital. Further analysis of Xerox's financial performance and operational strategies would be warranted to better understand the factors driving these fluctuations in the working capital turnover ratio.
Peer comparison
Dec 31, 2024