Granite Construction Incorporated (GVA)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 6,977,110 | 6,602,500 | 6,066,260 | 7,107,650 | 6,891,540 |
| Receivables | US$ in thousands | 598,705 | 463,987 | 464,588 | 437,558 | 547,417 |
| Receivables turnover | 11.65 | 14.23 | 13.06 | 16.24 | 12.59 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $6,977,110K ÷ $598,705K
= 11.65
Granite Construction Inc.'s receivables turnover ratio has shown some fluctuations over the past five years. The company's ability to collect outstanding receivables improved from 2019 to 2022, with the ratio increasing from 6.29 to 7.11. However, in 2023, there was a decrease in the receivables turnover to 5.86.
A higher receivables turnover ratio generally indicates that the company is more efficient in collecting payments from its customers. Despite the slight decline in 2023, Granite Construction Inc. has maintained a relatively good performance in managing its receivables over the years. It's important to monitor trends in receivables turnover to assess the effectiveness of the company's credit and collection policies.
Peer comparison
Dec 31, 2023