Enphase Energy Inc (ENPH)

Receivables turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	1,330,380	2,290,790	2,330,850	1,382,050	774,425
Receivables	US$ in thousands	223,749	445,959	440,896	333,626	182,165
Receivables turnover		5.95	5.14	5.29	4.14	4.25

December 31, 2024 calculation

Receivables turnover = Revenue ÷ Receivables
= $1,330,380K ÷ $223,749K
= 5.95

The receivables turnover ratio of Enphase Energy Inc has shown a fluctuating trend over the last five years. In 2020, the ratio was 4.25, indicating that the company converted its accounts receivable into cash approximately 4.25 times during the year. Despite a slight decrease to 4.14 in 2021, the ratio improved significantly to 5.29 in 2022, suggesting a more efficient collection of receivables. This positive trend continued in 2023 with a ratio of 5.14, demonstrating further improvement in the company's ability to collect outstanding receivables.

In the most recent year, 2024, Enphase Energy Inc achieved the highest receivables turnover ratio of 5.95 over the five-year period. This indicates that the company collected its accounts receivable nearly six times during the year, reflecting a strong cash collection efficiency and potentially tighter credit policies. Overall, the increasing trend in receivables turnover ratios suggests effective management of accounts receivable and improved liquidity for the company.