Cirrus Logic Inc (CRUS)

Receivables turnover

		Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Sep 23, 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
Revenue (ttm)	US$ in thousands	1,896,077	1,843,448	1,906,694	1,845,900	1,952,694	1,897,883	1,651,721	1,761,240	1,820,994	1,897,617	2,014,767	1,972,534	1,897,846	1,781,460	1,585,025	1,522,471	1,403,910	1,369,230	1,354,984	1,243,857
Receivables	US$ in thousands	216,009	261,943	324,098	190,079	162,478	217,269	271,894	271,894	186,033	150,473	270,493	304,546	206,272	240,264	326,131	280,967	136,534	108,712	244,803	181,496
Receivables turnover		8.78	7.04	5.88	9.71	12.02	8.74	6.07	6.48	9.79	12.61	7.45	6.48	9.20	7.41	4.86	5.42	10.28	12.60	5.53	6.85

March 31, 2025 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,896,077K ÷ $216,009K
= 8.78

The receivables turnover ratio measures how efficiently a company collects cash from its customers. It is calculated by dividing net sales by average accounts receivable. A higher receivables turnover ratio indicates that the company is collecting its receivables more quickly.

Analyzing the receivables turnover of Cirrus Logic Inc over the past few quarters, we observe fluctuating values. As of March 31, 2025, the receivables turnover ratio stands at 8.78, indicating an improvement in the collection efficiency compared to the previous quarter. This suggests that the company has been able to convert its accounts receivable into cash at a faster pace.

Looking further back into the data, we notice some variability in the receivables turnover ratio over time. For example, the ratio peaked at 12.61 on March 31, 2023, before declining in subsequent quarters. This fluctuation may be influenced by factors such as changes in credit policies, customer payment behavior, or sales volume.

Overall, while the receivables turnover ratio of Cirrus Logic Inc has shown some fluctuations, the company appears to be managing its accounts receivable effectively, ensuring a steady flow of cash from customers. Monitoring this ratio consistently can provide insights into the company's liquidity and collection practices.