Azenta Inc (AZTA)
Receivables turnover
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 667,215 | 2,683,250 | 501,137 | 887,939 | 1,154,590 |
| Receivables | US$ in thousands | 156,535 | 163,758 | 119,900 | 188,291 | 165,602 |
| Receivables turnover | 4.26 | 16.39 | 4.18 | 4.72 | 6.97 |
September 30, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $667,215K ÷ $156,535K
= 4.26
The receivables turnover ratio for Azenta Inc has exhibited fluctuations over the past five years. In Sep 30, 2023, the ratio stood at 4.25, indicating that the company collected its accounts receivable approximately 4.25 times during the year. This represents an increase from the previous year's 3.39.
The upward trend in the receivables turnover ratio implies that Azenta Inc has been more effective in converting its credit sales into cash in the most recent fiscal year compared to the prior year. However, it is important to note that the ratio has not consistently increased over the entire period, as it declined in 2021.
The increase in the receivables turnover ratio can be a positive sign, indicating efficient management of accounts receivable and potential improvement in cash flow. It suggests that the company has been successful in ensuring timely collections from its customers, which could have a favorable impact on its working capital management and overall financial stability. However, the company should continue to monitor and analyze this ratio in conjunction with other financial indicators to assess its overall financial performance and credit management effectiveness.
Peer comparison
Sep 30, 2023