Net Power(Npwr) Financials: Working Capital Turnover Compared To Industry Average, Plus Other Key Ratios

Report Profitability Growth Liquidity Solvency Valuation

fixed asset turnover payables turnover receivables turnover total asset turnover working capital turnover

Growth Trend (Last 5 Years)

Growth - working capital turnover

This chart shows the historical trend of working capital turnover for NPWR compared to its industry average over the recent years.

Ratio Definition and Interpretation

Name: Working Capital Turnover

Definition: Working capital turnover shows how efficiently the company uses its short-term resources — like cash, inventory, and receivables — to generate sales. Higher turnover means the company squeezes more sales from its working capital. Lower turnover may indicate inefficient inventory, slow collections, or too much short-term capital tied up unnecessarily.

Interpretation:
• In '2022', NPWR's working capital turnover was 0.63, showing how efficiently working capital is deployed. Industry average for Industrial Machinery/Components in '2022' stood at 2.09.
• In '2024', NPWR's working capital turnover was 0.00, showing how efficiently working capital is deployed. The decline from '2022' may indicate some operational or financial challenges. Industry average for Industrial Machinery/Components in '2024' stood at 2.35. Industry average increased by 0.26 compared to previous year.
Overall, NPWR's working capital turnover has been volatile but showed a downward trend over the past 2 years.

Formula: Working Capital Turnover = Net Sales / Working Capital

Good Range: Ranges 5-20 depending on business.