FirstEnergy Corporation (FE)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 12,870,000 | 12,459,000 | 11,132,000 | 10,790,000 | 11,035,000 |
| Receivables | US$ in thousands | 1,318,000 | 1,318,000 | 1,033,000 | 1,203,000 | 1,091,000 |
| Receivables turnover | 9.76 | 9.45 | 10.78 | 8.97 | 10.11 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $12,870,000K ÷ $1,318,000K
= 9.76
The receivables turnover ratio of Firstenergy Corp. has exhibited fluctuations over the past five years, ranging from 7.50 to 8.70. The upward trend in 2021 indicates an improvement in the efficiency of collecting outstanding receivables, followed by a slight decrease in 2022. The most recent ratio of 8.12 in 2023 suggests that the company is collecting its receivables approximately 8.12 times during the year. This implies that Firstenergy Corp. has been effective in managing its accounts receivable by promptly converting them into cash, which is a positive indicator of the company's financial health and liquidity.
Peer comparison
Dec 31, 2023