Dine Brands Global Inc (DIN)

Receivables turnover

		Dec 31, 2023	Sep 30, 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	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	831,101	832,799	863,435	892,814	909,437	931,104	926,603	922,428	896,205	862,567	810,448	686,541	689,225	720,707	761,512	879,880	910,178	896,865	873,559	829,950
Receivables	US$ in thousands	127,937	85,742	90,596	93,119	120,000	89,529	91,888	94,009	119,968	92,100	99,300	107,400	121,897	122,100	124,600	80,415	136,869	91,426	98,786	97,786
Receivables turnover		6.50	9.71	9.53	9.59	7.58	10.40	10.08	9.81	7.47	9.37	8.16	6.39	5.65	5.90	6.11	10.94	6.65	9.81	8.84	8.49

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $831,101K ÷ $127,937K
= 6.50

The receivables turnover ratio for Dine Brands Global Inc has shown fluctuations over the past eight quarters. In Q4 2023, it stood at 6.50, which indicates that the company collected its accounts receivable approximately 6.5 times during that quarter. This represents a decrease from the previous quarter, Q3 2023, where the ratio was 9.71.

Looking at a longer trend, the company experienced a peak in receivables turnover in Q3 2022 at 10.40, followed by a gradual decline leading to the current ratio. Generally, a higher receivables turnover ratio signifies that the company is more efficient in collecting its outstanding receivables.

The recent decrease in the receivables turnover ratio may raise concerns about the company's credit policies, collection efficiency, or the creditworthiness of its customers. Further analysis in conjunction with other financial metrics is advised to better understand the underlying reasons behind the fluctuations in this ratio and its implications for the overall financial health of Dine Brands Global Inc.