DXP Enterprises Inc (DXPE)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,624,650 | 1,451,700 | 1,093,110 | 982,407 | 1,247,510 |
| Receivables | US$ in thousands | 311,171 | 323,373 | 227,885 | -8,628 | 188,112 |
| Receivables turnover | 5.22 | 4.49 | 4.80 | — | 6.63 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $1,624,650K ÷ $311,171K
= 5.22
The receivables turnover ratio for DXP Enterprises Inc has shown variability over the past five years. In 2023, the ratio increased to 5.22 from 4.49 in 2022, indicating that the company collected its accounts receivable 5.22 times during the year. This improvement suggests that DXP Enterprises managed to convert its accounts receivable into cash at a faster pace in 2023 compared to the previous year.
However, to further evaluate the efficiency of DXP Enterprises in managing its receivables, it is essential to compare the latest ratio with the industry average or benchmark figures to gain a better understanding of its performance relative to its peers. Additionally, the absence of data for 2020 in the table limits a comprehensive trend analysis. Overall, a higher receivables turnover ratio is generally favorable as it indicates that a company is collecting receivables more efficiently.
Peer comparison
Dec 31, 2023