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 '2021', TNL's working capital turnover was 0.93, showing how efficiently working capital is deployed. Industry average for Hotels/Resorts in '2021' stood at 1.31.
• In '2022', TNL's working capital turnover was 1.02, showing how efficiently working capital is deployed. The increase since '2021' reflects strengthening financial performance. Industry average for Hotels/Resorts in '2022' stood at 0.21. Industry average declined by 1.09 from previous year.
• In '2023', TNL's working capital turnover was 1.04, showing how efficiently working capital is deployed. The increase since '2022' reflects strengthening financial performance. Industry average for Hotels/Resorts in '2023' stood at 0.95. Industry average increased by 0.73 compared to previous year.
• In '2024', TNL's working capital turnover was 1.07, showing how efficiently working capital is deployed. The increase since '2023' reflects strengthening financial performance. Industry average for Hotels/Resorts in '2024' stood at -0.54. Industry average declined by 1.49 from previous year.
Overall, TNL's working capital turnover has steadily improved over the past 4 years.

Formula: Working Capital Turnover = Net Sales / Working Capital

Good Range: Ranges 5-20 depending on business.