Grocery Outlet Holding Corp (GO)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,943,260 | 3,558,750 | 3,066,320 | 3,116,180 | 2,508,820 |
| Receivables | US$ in thousands | 19,128 | 15,173 | 10,378 | 11,393 | 9,852 |
| Receivables turnover | 206.15 | 234.54 | 295.46 | 273.52 | 254.65 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $3,943,260K ÷ $19,128K
= 206.15
Receivables turnover is an important financial ratio that measures how quickly a company collects cash from its credit sales. The trend in Grocery Outlet Holding Corp's receivables turnover over the past five years indicates a fluctuating pattern.
The receivables turnover ratio for Grocery Outlet Holding Corp was 206.15 in 2023, 234.54 in 2022, 295.46 in 2021, 273.52 in 2020, and 254.65 in 2019. The ratio has been decreasing since 2021, indicating that the company took longer to collect its accounts receivable in 2023 compared to previous years.
A lower receivables turnover ratio may suggest the company is having difficulty collecting payment from its customers, which could potentially lead to cash flow issues. It is essential for Grocery Outlet Holding Corp to analyze the reasons behind the declining trend in receivables turnover and take appropriate measures to improve collection efficiency and maintain healthy cash flow in the long term.
Peer comparison
Dec 31, 2023