DXC Technology Co (DXC)
Receivables turnover
| Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 13,667,000 | 13,872,000 | 14,039,000 | 14,169,000 | 14,430,000 | 14,847,000 | 15,370,000 | 15,831,000 | 16,265,000 | 16,642,000 | 16,841,000 | 17,368,000 | 17,729,000 | 18,159,000 | 18,892,000 | 19,189,000 | 19,577,000 | 20,042,000 | 20,199,000 | 20,361,000 |
| Receivables | US$ in thousands | 3,253,000 | 3,132,000 | 3,146,000 | 3,285,000 | 3,441,000 | 3,454,000 | 3,467,000 | 3,693,000 | 3,854,000 | 3,670,000 | 3,821,000 | 4,081,000 | 4,156,000 | 4,130,000 | 4,194,000 | 4,271,000 | 4,392,000 | 4,619,000 | 4,611,000 | 5,234,000 |
| Receivables turnover | 4.20 | 4.43 | 4.46 | 4.31 | 4.19 | 4.30 | 4.43 | 4.29 | 4.22 | 4.53 | 4.41 | 4.26 | 4.27 | 4.40 | 4.50 | 4.49 | 4.46 | 4.34 | 4.38 | 3.89 |
March 31, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $13,667,000K ÷ $3,253,000K
= 4.20
The receivables turnover ratio for DXC Technology Co has been relatively stable over the past several quarters, ranging between 4.19 and 4.53. This ratio indicates how efficiently the company is able to collect payments from its customers.
A receivables turnover ratio of 4.20 means that DXC Technology Co collects its outstanding accounts receivable approximately 4.20 times within a given period, which in this case is one quarter. A higher turnover ratio generally indicates a more efficient management of accounts receivable and a shorter time between sales and cash collection.
The consistency of the receivables turnover ratio within the range of 4.19 to 4.53 suggests that DXC Technology Co has been effectively managing its receivables, maintaining a balance between granting credit to customers and collecting payments in a timely manner. This stability indicates a strength in the company’s credit and collection policies.
Overall, the trend in DXC Technology Co’s receivables turnover ratio shows a consistent and efficient performance in managing its accounts receivable over the analyzed period.
Peer comparison
Mar 31, 2024