capital turnover

Capital turnover

Calculated by dividing annual sales by average stockholder equity (net worth). The ratio indicates how much a company could grow its current capital investment level. Low capital turnover generally corresponds to high profit margins.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Capital Turnover

A ratio of how effectively a publicly-traded company manages the capital invested in it to produce revenues. It is calculated by taking the total of the company's annual sales and dividing it by the average stockholder equity, which is the average amount of money invested in the company. A high ratio indicates that the company is using its capital well, while a low ratio indicates the opposite. It is also called equity turnover.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

capital turnover

A measure indicating how effectively investment capital is used to produce revenues. Capital turnover is expressed as a ratio of annual sales to invested capital.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
References in periodicals archive ?
LianLian Digital has announced that, its cross-border financial online technical solutions "E-order" and "E-credit" will be engaged in helping cross-border e-commerce sellers resolve their financing problems such as capital turnover, through the five billion funds provided by financial institutions, the company said.
LianLian Digital online solutions help cross-border sellers
"Most entrepreneurs try to hide their incomes, capital turnover, and this mainly concerns people who manage trade and service facilities," he said.
Changing Azerbaijan's tax legislation aimed at stimulating business climate development
On the other hand, AUTO has maintained stable working capital turnover days in addition to better financial flexibility with near-zero FFO adjusted leverage (2017: 0.6x).
Fitch Affirms Astra Otoparts at 'AA-(idn)'; Outlook Stable
In a press statement, the lobby criticised the high capital turnover requirement set for firms bidding for state tenders.
Local firms oppose conditions set for Big Four agenda tenders
We will also continue to apply stringent control over cash collection rate, improve projects' capital turnover and maintain our gearing at a relatively reasonable level.
Minmetals Land Announces 2017 Interim Resuts
Mining projects have a full cycle of around 50 years and demand investment of about US$500 million and a capital turnover period of atleast 10 years.
MANAGEMENT CONFLICTS SPELL DOOM RUSSIAN-CANADIAN JOINT VENTURE IN THE MINING INDUSTRY IN RUSSIA
We are always working to manage the portfolio in order to achieve the aimed target and capital turnover.
NBE studying expansion into Saudi market in next period
The accounts receivable turnover (days), inventory turnover (days), net working capital turnover rate, and return on assets indicators were used to measure the effectiveness of the working capital management.
The evaluation of working capital in airline companies which proceed in Bist
"It is important to have same conditions on our market and their market, including freedom of capital turnover. As for foreign currency, the National Bank is in talks with the Eurasian Economic Commission, we are waiting their recommendations," the Deputy Minister stated.
Kyrgyzstan's foreign exchange regime much more liberal than in Russia, Kazakhstan -- MP
At this stage, capital turnover is too slow for the global economy.
New deal for emerging economies
Capital turnover was modest in 3Q, with few funds experiencing inflows or outflows greater than $500 million; 41 percent of all funds experienced inflows for the quarter.
Hedge fund assets surge to new record in Q3
b) Analysis of data: The analysis has been done on the basis of various indicators like current ratio, absolute liquid ratio, current assets to total assets ratio, inventory turnover ratio, debtor turnover ratio, net working capital turnover ratio, inventory to current assets ratio, receivables to current assets ratio, deposits to current assets ratio, cash & bank to current assets ratio, loans and advances to current assets ratio, etc.
Working capital management in marketing co-operatives--a study of HAFED
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