Zurn Elkay Water Solutions Corporation (ZWS)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,565,100 | 1,530,500 | 1,281,800 | 910,900 | 2,068,300 |
| Total current assets | US$ in thousands | 722,100 | 667,800 | 757,500 | 474,800 | 1,264,300 |
| Total current liabilities | US$ in thousands | 247,800 | 220,900 | 289,300 | 240,400 | 455,500 |
| Working capital turnover | 3.30 | 3.42 | 2.74 | 3.89 | 2.56 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,565,100K ÷ ($722,100K – $247,800K)
= 3.30
The working capital turnover of Zurn Elkay Water Solutions Corporation has shown fluctuations over the years. The ratio indicates how efficiently the company is utilizing its working capital to generate sales revenue.
As of March 31, 2020, the working capital turnover was 2.56, suggesting that for every dollar of working capital, the company generated $2.56 of sales. Subsequently, there was a significant improvement to 3.89 as of December 31, 2021, indicating a better utilization of working capital for revenue generation.
However, by the end of December 31, 2022, the working capital turnover decreased to 2.74, signifying a decline in efficiency in utilizing working capital to drive sales. The ratio rebounded to 3.42 by the end of December 31, 2023, showing an improvement in this aspect.
The most recent data as of December 31, 2024, reflects a working capital turnover of 3.30, indicating the company's ability to generate $3.30 of sales for each dollar of working capital.
Overall, the company's working capital turnover has shown variations, with improvements in some years and declines in others. It is important for Zurn Elkay Water Solutions Corporation to consistently monitor and manage its working capital effectively to optimize its operations and financial performance.
Peer comparison
Dec 31, 2024