Albertsons Companies (ACI)
Receivables turnover
| Feb 28, 2025 | Feb 29, 2024 | Feb 28, 2023 | Feb 28, 2022 | Feb 28, 2021 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 80,390,900 | 79,237,700 | 77,649,700 | 71,887,000 | 69,690,400 |
| Receivables | US$ in thousands | 834,800 | 724,400 | 687,600 | 560,600 | 550,900 |
| Receivables turnover | 96.30 | 109.38 | 112.93 | 128.23 | 126.50 |
February 28, 2025 calculation
Receivables turnover = Revenue ÷ Receivables
= $80,390,900K ÷ $834,800K
= 96.30
The receivables turnover ratio for Albertsons Companies demonstrates a generally high and stable level of efficiency in managing accounts receivable over the analyzed period. In the fiscal year ending February 28, 2021, the ratio stood at 126.50, indicating a strong ability to collect receivables relatively quickly. This ratio slightly increased to 128.23 in the fiscal year ending February 28, 2022, suggesting an improvement or maintenance of effective receivables management during that period.
Subsequently, a decline is observed in the ratios for the following years, with the ratio decreasing to 112.93 as of February 28, 2023. This decrease indicates a reduction in the frequency of collections or a potential extension of credit terms, which could be influenced by strategic changes, customer payment behavior, or broader economic factors.
The downward trend continues into the fiscal year ending February 29, 2024, with the receivables turnover ratio falling further to 109.38. By the fiscal year ending February 28, 2025, the ratio reaches 96.30, reflecting a notable decrease over the period but still remaining within a reasonably efficient range for a retail and grocery operation, where credit terms are typically shorter.
Overall, the pattern depicts a gradual decline in receivables turnover, which may suggest factors such as extended credit periods, shifts in customer payment practices, or strategic adjustments affecting accounts receivable collection cycles. Despite this decline, the ratio remains indicative of ongoing efficient receivables management in comparison with industry standards, although continuous monitoring may be warranted to assess the impact on cash flow and liquidity.
Peer comparison
Feb 28, 2025