H B Fuller Company (FUL)
Receivables turnover
| Nov 30, 2024 | Dec 2, 2023 | Dec 3, 2022 | Nov 27, 2021 | Nov 28, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,568,740 | 3,510,930 | 3,749,180 | 3,278,030 | 2,790,270 |
| Receivables | US$ in thousands | 558,336 | 577,932 | 607,365 | 614,645 | 514,916 |
| Receivables turnover | 6.39 | 6.07 | 6.17 | 5.33 | 5.42 |
November 30, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $3,568,740K ÷ $558,336K
= 6.39
The receivables turnover ratio for H B Fuller Company has shown a relatively stable trend over the past five years. In November 2020, the ratio was 5.42, indicating that the company collected its accounts receivable approximately 5.42 times during that year. The ratio slightly decreased to 5.33 in November 2021 but then steadily improved to 6.39 by November 30, 2024.
This improvement suggests that the company has been more efficient in converting its accounts receivable into cash, with the ratio peaking at 6.39 in November 2024. A higher receivables turnover ratio signifies that the company is effectively managing its credit and collection policies, leading to faster cash inflows from its credit sales.
Overall, the increasing trend in the receivables turnover ratio indicates that H B Fuller Company has been successful in managing its accounts receivable effectively, which is a positive sign for its liquidity and operational efficiency.
Peer comparison
Nov 30, 2024