H B Fuller Company (FUL)
Receivables turnover
| Mar 2, 2024 | Dec 2, 2023 | Sep 2, 2023 | Jun 3, 2023 | Mar 4, 2023 | Dec 3, 2022 | Aug 27, 2022 | May 28, 2022 | Feb 26, 2022 | Nov 27, 2021 | Aug 28, 2021 | May 29, 2021 | Feb 27, 2021 | Nov 28, 2020 | Aug 29, 2020 | May 30, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | Jun 1, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 3,512,171 | 3,510,935 | 3,566,270 | 3,606,866 | 3,701,885 | 3,749,184 | 3,688,394 | 3,573,994 | 3,408,609 | 3,278,031 | 3,158,247 | 3,022,880 | 2,869,609 | 2,790,269 | 2,751,735 | 2,785,648 | 2,870,629 | 2,897,000 | 2,926,323 | 2,971,054 |
| Receivables | US$ in thousands | 525,689 | 577,932 | 576,060 | — | — | 607,365 | 649,727 | 644,544 | 616,274 | 614,645 | 572,855 | 583,270 | 504,994 | 514,916 | 476,099 | 448,126 | 457,826 | 493,181 | 485,688 | — |
| Receivables turnover | 6.68 | 6.07 | 6.19 | — | — | 6.17 | 5.68 | 5.54 | 5.53 | 5.33 | 5.51 | 5.18 | 5.68 | 5.42 | 5.78 | 6.22 | 6.27 | 5.87 | 6.03 | — |
March 2, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $3,512,171K ÷ $525,689K
= 6.68
The receivables turnover ratio for H B Fuller Company has shown fluctuations over the past 20 periods. The ratio indicates how efficiently the company is collecting its accounts receivable during a specific period. A higher turnover ratio is generally preferred as it suggests that the company is collecting payments from its customers more quickly.
From the data provided, we observe that the receivables turnover ratio ranged from 5.33 to 6.68 during the period. There appears to be a general trend of fluctuation in the turnover ratio, with no consistent increasing or decreasing pattern visible.
It is important to note that a consistent, stable, or increasing trend in the receivables turnover ratio could indicate effective credit policies and efficient collections processes. On the other hand, a decreasing trend may signal potential issues with credit granting or collection procedures.
Further analysis of the company's receivables turnover ratio in conjunction with other financial metrics and industry benchmarks would be necessary to gain a deeper understanding of the company's overall financial performance and efficiency in managing its accounts receivable.