DaVita HealthCare Partners Inc (DVA)
Receivables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 12,815,600 | 12,140,100 | 11,609,900 | 11,618,800 | 11,550,600 |
| Receivables | US$ in thousands | 2,557,680 | 2,415,910 | 2,550,650 | 2,410,510 | 2,438,820 |
| Receivables turnover | 5.01 | 5.03 | 4.55 | 4.82 | 4.74 |
December 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $12,815,600K ÷ $2,557,680K
= 5.01
Based on the provided data, DaVita HealthCare Partners Inc's receivables turnover has shown a relatively stable trend over the years.
The receivables turnover ratio measures how efficiently a company is collecting payments from its customers. A higher turnover ratio indicates that the company is collecting its accounts receivable more quickly.
DaVita's receivables turnover ratio has been consistently above 4, ranging from 4.55 to 5.03 over the past five years. This suggests that DaVita is efficient in converting its accounts receivable into cash. An increasing trend in the ratio over the years indicates an improvement in the company's ability to collect payments promptly.
Overall, DaVita HealthCare Partners Inc's receivables turnover ratio reflects effective management of accounts receivable and indicates that the company is efficiently managing its credit sales and collections.
Peer comparison
Dec 31, 2024