GMS Inc (GMS)
Receivables turnover
| Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 5,513,750 | 5,592,980 | 5,590,620 | 5,540,770 | 5,501,910 | 5,392,980 | 5,369,250 | 5,379,300 | 5,329,250 | 5,313,800 | 5,232,780 | 4,952,350 | 4,634,880 | 4,278,433 | 3,876,024 | 3,538,330 | 3,298,823 | 3,137,470 | 3,147,631 | 3,196,704 |
| Receivables | US$ in thousands | 719,868 | 783,116 | 943,682 | 929,508 | 849,993 | 794,721 | 880,196 | 837,627 | 792,232 | 775,118 | 872,882 | 820,589 | 750,046 | 700,255 | 732,272 | 656,878 | 558,661 | 410,125 | 434,836 | 430,931 |
| Receivables turnover | 7.66 | 7.14 | 5.92 | 5.96 | 6.47 | 6.79 | 6.10 | 6.42 | 6.73 | 6.86 | 5.99 | 6.04 | 6.18 | 6.11 | 5.29 | 5.39 | 5.90 | 7.65 | 7.24 | 7.42 |
April 30, 2025 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $5,513,750K ÷ $719,868K
= 7.66
The receivables turnover ratio for GMS Inc. exhibits some variability across the analyzed periods, reflecting fluctuations in the company's efficiency in collecting accounts receivable.
At the beginning of the observed timeframe, as of July 31, 2020, the ratio stood at 7.42 times, indicating that receivables were being collected approximately 7.4 times annually. This figure experienced a slight decline over the subsequent months, reaching a low of 5.29 times as of October 31, 2021. The decrease suggests a period where collection efficiency diminished, potentially due to changes in credit policies, customer payment behaviors, or economic conditions affecting receivables management.
Starting from January 31, 2022, the ratio showed signs of improvement, rising to 6.11 times and maintaining a relatively stable range through mid-2022. By January 31, 2023, the ratio further increased to 6.86, signaling a relative strengthening in receivables collection efforts. The ratio remained consistent within the 6.4 to 6.8 range into mid-2023, indicating steady receivables management.
Interestingly, a notable upward trend appears from October 31, 2023, onward, with ratios exceeding 7.0, reaching a peak of 7.66 as of April 30, 2025. This upward movement suggests an improvement in collection efficiency, potentially driven by tighter credit controls or changes in customer payment terms.
Overall, the data reveals periods of decline followed by recovery and upward movement in receivables turnover. The recent trend indicates an ongoing enhancement in collection practices, which could positively impact cash flow and working capital management. However, the fluctuations also imply that receivables management remains responsive to external and internal factors, necessitating ongoing monitoring for sustained efficiency.
Peer comparison
Apr 30, 2025