eBay Inc (EBAY)

Receivables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	10,112,000	9,795,000	10,420,000	8,894,000	7,429,000
Receivables	US$ in thousands	94,000	90,000	98,000	412,000	700,000
Receivables turnover		107.57	108.83	106.33	21.59	10.61

December 31, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $10,112,000K ÷ $94,000K
= 107.57

EBay Inc.'s receivables turnover has shown a generally increasing trend over the past five years, indicating a more efficient management of receivables. The ratio has significantly improved from 15.43 in 2019 to 107.57 in 2023. This suggests that EBay is collecting its accounts receivables more frequently in recent years.

A high receivables turnover ratio signifies that the company is effectively converting its accounts receivables into cash, which is positive for liquidity and working capital management. It also implies that EBay has been successful in extending credit to customers who are able to pay promptly.

However, it is important to note that a very high receivables turnover ratio could indicate very tight credit policies that may potentially impact sales. Therefore, EBay should strive to strike a balance between efficient receivables management and maintaining good customer relationships.

Overall, the increasing trend in EBay's receivables turnover ratio reflects a positive performance in managing its accounts receivables efficiently over the years.