Waldencast Plc Ordinary Share(Wald) Financials: Working Capital Turnover Compared To Industry Average, Plus Other Key Ratios
Growth Trend (Last 5 Years)
Growth - working capital turnover
This chart shows the historical trend of working capital turnover for WALD 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 '2021', WALD's working capital turnover was 7.81, showing how efficiently working capital is deployed. Industry average for Package Goods/Cosmetics in '2021' stood at 1.68.
• In '2023', WALD's working capital turnover was 6.91, showing how efficiently working capital is deployed. The decline from '2021' may indicate some operational or financial challenges. Industry average for Package Goods/Cosmetics in '2023' stood at 2.53. Industry average increased by 0.85 compared to previous year.
• In '2024', WALD's working capital turnover was 7.68, showing how efficiently working capital is deployed. The increase since '2023' reflects strengthening financial performance. Industry average for Package Goods/Cosmetics in '2024' stood at 2.16. Industry average declined by 0.37 from previous year.
Overall, WALD's working capital turnover has consistently declined during the past 3 years.
Formula: Working Capital Turnover = Net Sales / Working Capital
Good Range: Ranges 5-20 depending on business.