Dana Inc (DAN)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 10,387,000 | 10,032,000 | 8,787,000 | 6,968,000 | 8,478,000 |
| Receivables | US$ in thousands | 1,689,000 | 1,614,000 | 1,586,000 | 1,463,000 | 1,343,000 |
| Receivables turnover | 6.15 | 6.22 | 5.54 | 4.76 | 6.31 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $10,387,000K ÷ $1,689,000K
= 6.15
The receivables turnover ratio for Dana Inc has fluctuated over the past five years. The ratio indicates how efficiently the company is collecting its accounts receivable during a specific period.
From 2019 to 2020, there was a decrease in the receivables turnover ratio from 6.61 to 4.96, suggesting a lower efficiency in collecting receivables during 2020. This could be a red flag indicating potential issues with credit policies or the collection process.
However, the ratio rebounded in 2021 to 5.80, showing an improvement in the collection efficiency. It further increased in 2022 to 6.44, indicating even better management of receivables during that period.
In 2023, the receivables turnover ratio remained relatively stable at 6.39, showing consistency in the efficiency of collecting accounts receivable.
Overall, while there have been fluctuations in the receivables turnover ratio, the company has shown a general trend of improving its efficiency in collecting receivables over the past five years.
Peer comparison
Dec 31, 2023