ZoomInfo Technologies Inc (ZI)

Working capital turnover

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Revenue US$ in thousands 1,190,000 1,050,400 695,600 392,000
Total current assets US$ in thousands 864,300 832,000 545,700 439,500
Total current liabilities US$ in thousands 638,400 572,700 507,600 320,800
Working capital turnover 5.27 4.05 18.26 3.30

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,190,000K ÷ ($864,300K – $638,400K)
= 5.27

The working capital turnover ratio for ZoomInfo Technologies Inc. has shown fluctuating trends over the past five years. In 2023, the ratio stands at 5.49, which indicates that the company generated $5.49 in net sales for every dollar of working capital. This represents an improvement from the previous year's ratio of 4.23.

The significant increase from 2021's ratio of 19.61 to 2022's ratio of 4.23 suggests a potential change in the company's efficiency in managing its working capital to generate sales. However, the ratio has since increased again in 2023.

Overall, the company's working capital turnover ratios demonstrate variability, indicating fluctuations in the efficiency of utilizing its working capital to generate revenues over the years. Further analysis would be needed to assess the underlying reasons for these changes and their impact on the company's operational performance and financial health.


Peer comparison

Dec 31, 2023