Edison International (EIX)
Receivables turnover
| 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 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 16,338,000 | 16,648,000 | 17,174,000 | 17,218,000 | 17,220,000 | 16,535,000 | 16,606,000 | 15,913,000 | 14,905,000 | 14,731,000 | 14,076,000 | 13,748,000 | 13,578,000 | 13,391,000 | 12,488,000 | 12,313,000 | 12,347,000 | 12,386,000 | 12,914,000 | 12,917,000 |
| Receivables | US$ in thousands | 2,758,000 | 3,292,000 | 2,473,000 | 2,217,000 | 2,336,000 | 3,557,000 | 2,643,000 | 2,055,000 | 2,192,000 | 2,734,000 | 2,177,000 | 2,369,000 | 2,427,000 | 3,022,000 | 1,673,000 | 1,335,000 | 788,000 | 1,099,000 | 795,000 | 716,000 |
| Receivables turnover | 5.92 | 5.06 | 6.94 | 7.77 | 7.37 | 4.65 | 6.28 | 7.74 | 6.80 | 5.39 | 6.47 | 5.80 | 5.59 | 4.43 | 7.46 | 9.22 | 15.67 | 11.27 | 16.24 | 18.04 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $16,338,000K ÷ $2,758,000K
= 5.92
Edison International's receivables turnover ratio has fluctuated over the past eight quarters, ranging from a low of 4.65 in Q3 2022 to a high of 7.77 in Q1 2023. The receivables turnover ratio indicates how efficiently the company is collecting cash from its credit sales. A higher turnover ratio typically suggests that the company is collecting its accounts receivable more quickly.
The average receivables turnover for the period covered is 6.45. It is important to note that a consistently high or increasing receivables turnover ratio can indicate effective credit and collection policies, efficient management of accounts receivable, or potentially aggressive sales practices. Conversely, a declining ratio may suggest issues with collecting outstanding accounts receivable or problems with credit policies.
Analyzing the trends in receivables turnover can provide insights into the company's liquidity and overall financial health. It is advisable for Edison International to monitor this ratio closely and compare it to industry benchmarks to assess its performance in managing accounts receivable effectively.
Peer comparison
Dec 31, 2023