Group 1 Automotive Inc (GPI)

Receivables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	17,760,600	16,137,600	13,416,000	10,768,700	11,964,300
Receivables	US$ in thousands	238,400	199,200	177,900	200,000	225,100
Receivables turnover		74.50	81.01	75.41	53.84	53.15

December 31, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $17,760,600K ÷ $238,400K
= 74.50

The receivables turnover ratio for Group 1 Automotive, Inc. has exhibited fluctuations over the past five years, ranging from 25.15 to 33.98. This ratio indicates the efficiency with which the company collects cash from its credit sales over a given period.

In 2023, the receivables turnover ratio was 29.42, showing a decrease from the previous year's ratio of 33.96 in 2022. Despite the decline, the company's ability to convert accounts receivable into cash remained relatively efficient.

Comparing the 2023 ratio to earlier years, it is higher than the ratios of 2020 and 2019, indicating an improvement in the collection efficiency of Group 1 Automotive, Inc. However, it is slightly lower than the ratio reported in 2021.

Overall, analyzing the trend of receivables turnover, Group 1 Automotive, Inc. has shown variations in collecting cash from customers over the past five years, but has generally maintained a satisfactory level of efficiency in managing its accounts receivable.