CDW Corp (CDW)
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 | 21,149,400 | 21,563,100 | 22,145,100 | 22,665,300 | 23,513,000 | 23,627,600 | 22,738,300 | 21,761,100 | 20,669,900 | 20,132,600 | 19,585,200 | 18,800,300 | 18,349,700 | 17,930,400 | 18,079,600 | 18,343,000 | 17,911,300 | 17,449,200 | 16,920,400 | 16,479,900 |
| Receivables | US$ in thousands | 5,038,000 | 4,908,200 | 5,015,200 | 4,731,700 | 4,950,400 | 5,035,800 | 4,938,500 | 5,063,300 | 4,934,900 | 3,955,300 | 3,801,400 | 3,630,700 | 3,592,100 | 3,671,800 | 3,382,900 | 3,591,900 | 3,397,300 | 3,331,700 | 3,373,300 | 3,078,500 |
| Receivables turnover | 4.20 | 4.39 | 4.42 | 4.79 | 4.75 | 4.69 | 4.60 | 4.30 | 4.19 | 5.09 | 5.15 | 5.18 | 5.11 | 4.88 | 5.34 | 5.11 | 5.27 | 5.24 | 5.02 | 5.35 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $21,149,400K ÷ $5,038,000K
= 4.20
The receivables turnover ratio for CDW Corp has shown a fluctuating trend over the past 8 quarters. In Q1 2023, the ratio was at its highest at 4.84, indicating that the company collected its accounts receivable approximately 4.84 times during the quarter. This was a slight increase from the previous quarter.
Overall, the company's receivables turnover has been relatively stable, ranging from 4.24 to 4.84 over the past two years. A consistently high receivables turnover ratio suggests that CDW Corp has been efficient in collecting payments from its customers. However, it is worth noting that a very high turnover ratio may also indicate a very tight credit policy, which could potentially impact sales in the long run.
Analyzing the trend in receivables turnover can provide insights into the company's liquidity and efficiency in managing its accounts receivable. Further evaluation of the company's policies and practices related to credit management may be necessary to fully assess the implications of these ratios on CDW Corp's financial performance.
Peer comparison
Dec 31, 2023