Enerpac Tool Group Corp (EPAC)
Receivables turnover
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 589,510 | 598,204 | 571,223 | 528,660 | 493,292 |
| Receivables | US$ in thousands | 104,335 | 97,649 | 106,747 | 103,233 | 84,170 |
| Receivables turnover | 5.65 | 6.13 | 5.35 | 5.12 | 5.86 |
August 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $589,510K ÷ $104,335K
= 5.65
The receivables turnover ratio for Enerpac Tool Group Corp has been fluctuating over the past five years. It ranged from a low of 5.12 in August 2021 to a high of 6.13 in August 2023. The ratio measures how efficiently the company is collecting its accounts receivable during a specific period, indicating the number of times receivables are collected and replaced over that period.
A higher receivables turnover ratio generally indicates that the company is collecting its receivables more efficiently. Enerpac Tool Group Corp's receivables turnover ratios have generally been above 5, indicating a relatively healthy collection process.
However, the fluctuation in the ratio over the years suggests some variability in the company's accounts receivable management. It would be beneficial for the company to analyze the reasons behind these fluctuations and strive for a more consistent and efficient collection process to optimize cash flow and working capital management.
Peer comparison
Aug 31, 2024