General Dynamics Corporation (GD)
Receivables turnover
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 42,363,000 | 41,560,000 | 40,963,000 | 39,994,000 | 39,407,000 | 38,900,000 | 38,480,000 | 38,497,000 | 38,469,000 | 38,684,000 | 38,528,000 | 38,549,000 | 37,925,000 | 38,199,000 | 38,536,000 | 38,844,000 | 39,346,000 | 38,856,000 | 38,186,000 | 37,932,000 |
| Receivables | US$ in thousands | 11,001,000 | 11,585,000 | 11,458,000 | — | 11,803,000 | — | — | — | 11,539,000 | — | — | — | — | — | — | — | — | — | — | — |
| Receivables turnover | 3.85 | 3.59 | 3.58 | — | 3.34 | — | — | — | 3.33 | — | — | — | — | — | — | — | — | — | — | — |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $42,363,000K ÷ $11,001,000K
= 3.85
The receivables turnover ratio for General Dynamics Corp. has been relatively stable over the past eight quarters, ranging from 3.34 to 3.84. This indicates that, on average, the company collects its accounts receivable approximately 3.5 times per year.
A higher receivables turnover ratio generally suggests that the company is efficient in collecting payments from its customers, which is a positive sign of liquidity. In General Dynamics' case, the consistent turnover ratio above 3 indicates that the company has been effectively managing its accounts receivable and converting them into cash within a reasonable timeframe.
It's worth noting that the slight fluctuations in the receivables turnover ratio from quarter to quarter are normal and may be influenced by seasonal variations, economic conditions, or specific business circumstances. Overall, a relatively stable and healthy receivables turnover ratio is indicative of General Dynamics' effective credit and collection policies.
Peer comparison
Dec 31, 2023
See also:
General Dynamics Corporation Receivables Turnover (Quarterly Data)