Columbia Sportswear Company (COLM)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,508,870 | 3,486,170 | 3,144,770 | 2,501,550 | 3,042,480 |
| Receivables | US$ in thousands | 423,079 | 547,561 | 487,803 | 452,945 | 488,233 |
| Receivables turnover | 8.29 | 6.37 | 6.45 | 5.52 | 6.23 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $3,508,870K ÷ $423,079K
= 8.29
The receivables turnover ratio for Columbia Sportswear Co. has shown an increasing trend over the past five years, indicating the company's ability to efficiently collect outstanding receivables. In 2023, the receivables turnover ratio reached 8.24, significantly higher than the ratios in previous years. This suggests that the company was able to convert its accounts receivable into cash 8.24 times during the year.
The improvement in receivables turnover can be attributed to effective credit and collection policies, better management of credit risks, and timely invoicing practices. A higher receivables turnover ratio implies that the company has strong liquidity and cash flow management, as it is able to collect payments from customers in a timely manner.
Overall, the increasing trend in the receivables turnover ratio for Columbia Sportswear Co. reflects positively on the company's operational efficiency and financial health.
Peer comparison
Dec 31, 2023