ExlService Holdings Inc (EXLS)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,619,020 | 1,412,250 | 1,106,200 | 951,676 | 981,632 |
| Receivables | US$ in thousands | 308,108 | 259,222 | 195,124 | 211,799 | 245,784 |
| Receivables turnover | 5.25 | 5.45 | 5.67 | 4.49 | 3.99 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $1,619,020K ÷ $308,108K
= 5.25
The receivables turnover ratio for ExlService Holdings Inc has shown a fluctuating trend over the past five years. The ratio was 4.99 times in 2023, slightly lower than the previous year's ratio of 5.14 times. This suggests that the company collected its accounts receivable less frequently in 2023 compared to 2022. However, the ratio remained relatively stable around 5 times in the three years prior.
A high receivables turnover ratio is generally preferred as it indicates that the company is efficient in collecting payments from its customers. A declining ratio may raise concerns about the company's credit policies or the collectability of its receivables. It is important for ExlService Holdings Inc to monitor this ratio closely to ensure the timely collection of accounts receivable and maintain healthy cash flows.
Peer comparison
Dec 31, 2023