Advance Auto Parts Inc (AAP)
Receivables turnover
| Dec 31, 2023 | Oct 7, 2023 | Jul 15, 2023 | Apr 22, 2023 | Dec 31, 2022 | Oct 8, 2022 | Apr 23, 2022 | Dec 31, 2021 | Oct 9, 2021 | Jul 17, 2021 | Apr 24, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jul 11, 2020 | Apr 18, 2020 | Dec 31, 2019 | Oct 5, 2019 | Jul 13, 2019 | Apr 20, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 11,284,210 | 11,292,080 | 11,214,340 | 11,895,070 | 10,872,760 | 11,024,650 | 11,032,730 | 10,996,300 | 10,959,250 | 10,879,950 | 10,731,910 | 10,099,420 | 9,853,800 | 9,623,980 | 9,454,850 | 9,709,010 | 9,701,470 | 9,664,340 | 9,658,740 | 9,580,550 |
| Receivables | US$ in thousands | 800,141 | 868,305 | 793,772 | 782,093 | 684,048 | 845,667 | 957,799 | 782,785 | 931,758 | 803,880 | 804,826 | 749,999 | 843,054 | 742,346 | 627,405 | 689,469 | 721,342 | 713,061 | 684,419 | 624,972 |
| Receivables turnover | 14.10 | 13.00 | 14.13 | 15.21 | 15.89 | 13.04 | 11.52 | 14.05 | 11.76 | 13.53 | 13.33 | 13.47 | 11.69 | 12.96 | 15.07 | 14.08 | 13.45 | 13.55 | 14.11 | 15.33 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $11,284,210K ÷ $800,141K
= 14.10
The receivables turnover ratio for Advance Auto Parts Inc has fluctuated over the past few years, with a range between 11.52 and 15.89. The ratio indicates how efficiently the company is collecting on its credit sales from customers.
A higher receivables turnover ratio suggests that the company is collecting its accounts receivable more effectively, while a lower ratio may indicate potential issues with collecting payments promptly.
In the most recent period on Dec 31, 2023, the receivables turnover ratio stood at 14.10, indicating that the company collected its outstanding receivables approximately 14 times in that period. Comparing it to previous periods, the ratio has shown some variability but generally remained within a reasonable range.
Overall, Advance Auto Parts Inc's receivables turnover ratio reflects a decent level of efficiency in collecting payments from customers, with fluctuations likely reflecting seasonal variations or changes in business operations. Further analysis and comparison with industry peers would provide more insights into the company's receivables management performance.
Peer comparison
Dec 31, 2023