Fair Isaac Corporation (FICO)

Receivables turnover

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Revenue (ttm)	US$ in thousands	1,717,589	1,549,460	1,502,622	1,451,275	1,415,832	1,382,391	1,338,493	1,322,108	1,310,169	1,304,205	1,394,931	1,376,365	1,376,295	1,426,790	1,319,550	1,306,103	1,294,562	1,225,550	1,226,068	1,196,331
Receivables	US$ in thousands	637,437	647,546	682,048	557,408	591,843	585,320	537,350	483,434	487,796	458,295	429,374	416,293	467,515	449,416	424,695	489,465	515,730	457,923	453,533	415,974
Receivables turnover		2.69	2.39	2.20	2.60	2.39	2.36	2.49	2.73	2.69	2.85	3.25	3.31	2.94	3.17	3.11	2.67	2.51	2.68	2.70	2.88

September 30, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,717,589K ÷ $637,437K
= 2.69

The receivables turnover ratio measures how efficiently a company is collecting on its accounts receivable. Fair Isaac Corporation's receivables turnover ratio has shown fluctuations over the past few quarters, ranging from 2.20 to 3.31. A higher turnover ratio indicates that the company is collecting its receivables more frequently, which is generally favorable.

It is important to note that the receivables turnover ratio for Fair Isaac Corporation has generally been above 2.0, indicating that the company is efficient in collecting its outstanding receivables. The upward trend from 2.20 in March 2020 to 3.31 in March 2022 reflects an improvement in the company's ability to collect receivables promptly.

However, the ratio has shown some fluctuations in recent quarters, with a slight decrease from 2.85 in June 2022 to 2.20 in March 2024, before increasing to 2.69 in September 2024. This variability suggests potential changes in the company's collection practices or the creditworthiness of its customers.

Overall, Fair Isaac Corporation's receivables turnover ratio indicates that the company is managing its accounts receivable effectively, but investors and analysts should continue to monitor any further fluctuations to understand the underlying reasons and implications for the company's financial performance.