Aramark Holdings (ARMK)

Receivables turnover

		Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019
Revenue	US$ in thousands	19,257,800	15,941,600	11,818,400	12,437,600	16,025,900
Receivables	US$ in thousands	1,970,780	2,147,960	1,748,600	1,431,210	1,806,960
Receivables turnover		9.77	7.42	6.76	8.69	8.87

September 30, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $19,257,800K ÷ $1,970,780K
= 9.77

The receivables turnover ratio for Aramark Holdings has shown fluctuations over the past five years. In 2023, the receivables turnover ratio improved significantly to 9.77, indicating that the company's ability to collect outstanding receivables improved compared to the previous year. This could be a positive sign of efficient management of accounts receivable.

In 2022, the receivables turnover ratio was 7.42, which was lower than in 2023 but higher than in 2021. This suggests that the company took longer to collect outstanding receivables in 2022 compared to 2023.

In 2021, the receivables turnover ratio was 6.76, showing a slight decrease from the previous year. A lower turnover ratio indicates that it takes the company longer to collect its accounts receivable, which could potentially signal inefficiencies in the collection process.

In 2020, the receivables turnover ratio improved to 8.69, indicating a better performance in collecting outstanding receivables compared to 2021. However, in 2019, the ratio was slightly higher at 8.87, suggesting a slight decline in receivables turnover efficiency compared to 2020.

Overall, the trend in the receivables turnover ratio for Aramark Holdings shows some variability, with fluctuations from year to year. It is important for the company to closely monitor its accounts receivable management to ensure timely collection and efficient use of its working capital.