Adtalem Global Education Inc (ATGE)

Receivables turnover

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Revenue	US$ in thousands	1,584,650	1,450,830	1,381,840	899,248	866,427
Receivables	US$ in thousands	126,833	102,749	81,635	67,996	87,042
Receivables turnover		12.49	14.12	16.93	13.23	9.95

June 30, 2024 calculation

Receivables turnover = Revenue ÷ Receivables
= $1,584,650K ÷ $126,833K
= 12.49

Analyzing Adtalem Global Education Inc's receivables turnover ratio over the past five years reveals a fluctuating trend. The ratio indicates how efficiently the company is collecting cash from its credit sales. In Jun 2020, the receivables turnover was at 9.95, showing a moderate level of efficiency. This ratio then increased significantly to 16.93 in Jun 2022, signaling a substantial improvement in the collection process. However, in Jun 2023, there was a slight decrease to 14.12, although still reflective of effective receivables management. The most recent data point, in Jun 2024, shows a further decline to 12.49, suggesting a potentially slower collection period compared to the previous year. Overall, while there have been fluctuations, the company has generally maintained a healthy receivables turnover ratio, indicating a reasonable effectiveness in collecting outstanding receivables.