Capri Holdings Ltd (CPRI)
Receivables turnover
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,134,000 | 5,594,000 | 5,664,000 | 4,043,000 | 5,528,000 |
| Receivables | US$ in thousands | 332,000 | 369,000 | 434,000 | 373,000 | 308,000 |
| Receivables turnover | 15.46 | 15.16 | 13.05 | 10.84 | 17.95 |
March 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $5,134,000K ÷ $332,000K
= 15.46
The receivables turnover ratio for Capri Holdings Ltd has been relatively stable over the past five years, with a gradual increase from 10.84 in March 2021 to 15.46 in March 2024. This indicates that the company has been effective in managing its accounts receivable in generating sales revenue.
A higher receivables turnover ratio suggests that the company is efficient in collecting payments from customers, which can lead to improved cash flow and reduced credit risk. In contrast, a lower ratio may indicate potential issues with collecting payments from customers timely.
Overall, the upward trend in Capri Holdings Ltd's receivables turnover ratio signals effective management of its accounts receivable and suggests a healthy financial position in terms of sales collection efficiency. Further analysis of the company's payment terms, credit policies, and industry benchmarks would provide additional insights into its receivables management performance.
Peer comparison
Mar 31, 2024