Axon Enterprise Inc. (AXON)

Receivables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	1,576,710	1,185,750	858,072	679,336	528,619
Receivables	US$ in thousands	422,490	367,090	334,719	247,801	166,578
Receivables turnover		3.73	3.23	2.56	2.74	3.17

December 31, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $1,576,710K ÷ $422,490K
= 3.73

The receivables turnover ratio for Axon Enterprise Inc has shown variability over the past five years. The ratio indicates the number of times a company collects its accounts receivable during a specific period.

In 2023, the receivables turnover ratio improved to 3.74 from 3.32 in 2022, suggesting that the company collected its accounts receivable more efficiently. This increase could indicate an enhancement in the company's credit policy, collection procedures, or overall management of receivables.

However, in 2021, the ratio dipped to 2.69 from the previous year's 2.97, signaling a potential slowdown in the collection of accounts receivable. This decrease may warrant further investigation into the company's credit policies and collection methods to ensure timely receipt of payments.

Comparing the latest ratio to 2019, where the ratio was 3.61, we see a slight decline in efficiency in collecting receivables. This trend highlights the importance of consistent monitoring and management of receivables to maintain healthy cash flows and working capital levels.

Overall, while the receivables turnover ratio for Axon Enterprise Inc has fluctuated in recent years, the company should continue to focus on optimizing its accounts receivable collection processes to ensure timely and efficient cash inflows.