Eversource Energy (ES)

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	11,910,680	12,246,180	12,670,280	12,613,580	12,289,250	11,741,430	10,958,630	10,508,490	9,863,020	9,615,070	9,525,870	9,356,470	8,904,330	8,720,800	8,553,000	8,484,400	8,526,500	8,511,000	8,606,600	8,576,000
Receivables	US$ in thousands	1,431,530	1,430,180	1,332,310	1,660,080	1,517,140	1,453,780	1,345,900	1,468,560	1,226,070	1,288,760	1,224,090	1,290,200	1,195,920	1,113,500	996,290	1,018,940	989,383	993,396	964,314	1,140,350
Receivables turnover		8.32	8.56	9.51	7.60	8.10	8.08	8.14	7.16	8.04	7.46	7.78	7.25	7.45	7.83	8.58	8.33	8.62	8.57	8.93	7.52

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $11,910,680K ÷ $1,431,530K
= 8.32

The receivables turnover of Eversource Energy has shown some fluctuations over the recent quarters. In Q2 2023, the turnover ratio was recorded at its highest level of 8.37, indicating that the company collected its accounts receivables approximately 8.37 times during that period. This increase may suggest a more efficient collection process or stricter credit policies during that quarter.

However, in Q1 2023, the receivables turnover ratio decreased to 6.72, which could imply a longer collection period for the company's accounts receivables during that quarter. Despite this dip, the overall turnover ratios for the past eight quarters have been relatively stable, ranging from 6.32 to 8.37.

It is essential for Eversource Energy to monitor and manage its receivables effectively to ensure timely collection of outstanding balances. A consistently high or improving receivables turnover ratio is usually a positive sign as it indicates that the company is collecting its outstanding payments efficiently, maintaining strong cash flows, and managing credit risks effectively.