Caesars Entertainment Corporation (CZR)
Receivables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 11,218,000 | 9,002,000 | 8,497,000 | 7,105,000 | 2,245,000 |
| Receivables | US$ in thousands | 470,000 | 608,000 | 611,000 | 472,000 | 382,000 |
| Receivables turnover | 23.87 | 14.81 | 13.91 | 15.05 | 5.88 |
December 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $11,218,000K ÷ $470,000K
= 23.87
The receivables turnover ratio of Caesars Entertainment Corporation has shown a consistent improvement over the years, increasing from 5.88 in December 2020 to 23.87 in December 2024. This indicates that the company is collecting its receivables more efficiently, as the ratio measures how many times during a period the company converts its receivables into cash. A higher turnover ratio suggests that the company is able to collect outstanding receivables faster.
The significant increase in the receivables turnover ratio over the years demonstrates that Caesars Entertainment has been managing its accounts receivables effectively. This improvement could stem from better credit policies, improved collection efforts, or a more streamlined billing process. A high receivables turnover ratio is generally favorable as it indicates a quicker cash conversion cycle and better liquidity for the company. However, it is essential to ensure that the increase in turnover is not at the expense of customer satisfaction or future sales.
Peer comparison
Dec 31, 2024