Builders FirstSource Inc (BLDR)

Receivables turnover

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	17,096,390	17,276,460	18,503,660	20,901,030	22,698,850	22,968,350	22,715,430	21,365,780	19,858,230	17,789,490	14,576,400	10,945,430	8,553,650	7,782,960	7,468,250	7,426,870	7,277,510	7,336,620	7,474,350	7,631,020
Receivables	US$ in thousands	1,727,230	1,865,540	1,864,560	1,574,540	1,683,100	2,193,610	2,636,030	2,513,580	1,963,870	2,301,580	2,311,980	1,846,480	956,454	925,468	764,848	756,839	692,393	770,660	769,662	699,775
Receivables turnover		9.90	9.26	9.92	13.27	13.49	10.47	8.62	8.50	10.11	7.73	6.30	5.93	8.94	8.41	9.76	9.81	10.51	9.52	9.71	10.90

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $17,096,390K ÷ $1,727,230K
= 9.90

Builders Firstsource Inc's receivables turnover ratio has experienced fluctuations in recent quarters. The ratio indicates how many times the company collects its accounts receivable during a specific period. A higher turnover ratio is generally preferred as it signifies a shorter collection period and effective management of accounts receivable.

In Q1 2023, the receivables turnover was 13.29, showing a decrease from Q4 2022's turnover of 13.5. This decline may suggest a lengthening of the collection period compared to the previous quarter.

Q2 2023 saw a slight increase in receivables turnover to 9.94, followed by a further increase to 9.28 in Q3 2023. However, the turnover ratio dropped again to 9.90 in Q4 2023, displaying some inconsistency in the collection efficiency.

Comparing the turnover ratios of Q4 2023 and the same period in the previous year (Q4 2022), there seems to be a slight decline from 13.50 to 9.90. This decrease may indicate a longer collection period in Q4 2023 compared to Q4 2022.

In general, while the company's receivables turnover ratios have been relatively high, there have been fluctuations in recent quarters, suggesting varying effectiveness in managing accounts receivable collection. Further analysis and comparison with industry benchmarks may provide additional insights into the company's receivables management efficiency.