Guidewire Software Inc (GWRE)

Receivables turnover

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 Apr 30, 2020 Jan 31, 2020
Revenue (ttm) US$ in thousands 1,039,477 982,300 952,197 919,218 910,947 898,831 870,547 857,475 826,697 794,619 779,718 746,444 722,096 726,143 740,463 744,838 738,408 725,792 694,239 693,064
Receivables US$ in thousands 97,475 137,339 104,344 128,242 93,083 151,034 129,068 127,627 88,273 143,797 85,703 111,705 80,407 104,068 71,785 92,581 78,295 114,242 79,587 101,171
Receivables turnover 10.66 7.15 9.13 7.17 9.79 5.95 6.74 6.72 9.37 5.53 9.10 6.68 8.98 6.98 10.32 8.05 9.43 6.35 8.72 6.85

October 31, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,039,477K ÷ $97,475K
= 10.66

The receivables turnover ratio for Guidewire Software Inc fluctuated over the period from January 2020 to October 2024. The ratio ranged from 5.53 to 10.66 during this time frame, indicating the company's effectiveness in managing its accounts receivable.

A higher receivables turnover ratio suggests that the company is able to efficiently collect payments from its customers, which is a positive sign of liquidity and effective credit management. On the other hand, a lower ratio may indicate potential issues with collecting receivables promptly.

Analyzing the trend, we can observe some variability in the receivables turnover ratio over the quarters. This could be influenced by factors such as changes in sales volume, credit policies, or the overall economic environment.

Overall, it is essential for Guidewire Software Inc to monitor its receivables turnover ratio consistently to ensure efficient working capital management and maintain healthy cash flow.