Dynatrace Holdings LLC (DT)

Receivables turnover

		Mar 31, 2025	Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021
Revenue	US$ in thousands	1,698,680	1,430,530	1,158,530	929,445	703,509
Receivables	US$ in thousands	624,437	613,578	446,064	350,666	242,079
Receivables turnover		2.72	2.33	2.60	2.65	2.91

March 31, 2025 calculation

Receivables turnover = Revenue ÷ Receivables
= $1,698,680K ÷ $624,437K
= 2.72

The receivables turnover ratio for Dynatrace Holdings LLC has shown a gradual decline over the last five years. In March 2021, the ratio was 2.91, indicating that the company collected its accounts receivable approximately 2.91 times during that year. By March 2025, the ratio had dropped to a value that is not available, suggesting a significant decrease in the frequency of accounts receivable turnover.

A decreasing trend in the receivables turnover ratio can be a cause for concern, as it may indicate that the company is taking longer to collect payments from its customers. This could potentially lead to cash flow problems and affect the company's liquidity position. It is essential for the company to analyze the reasons behind this decline and implement strategies to improve its accounts receivable management in order to maintain a healthy cash conversion cycle and overall financial health.