Hasbro Inc (HAS)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,003,300 | 5,856,700 | 6,420,400 | 5,465,400 | 4,720,200 |
| Receivables | US$ in thousands | 1,029,300 | 1,132,400 | 1,500,400 | 1,391,730 | 1,410,600 |
| Receivables turnover | 4.86 | 5.17 | 4.28 | 3.93 | 3.35 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $5,003,300K ÷ $1,029,300K
= 4.86
The trend in Hasbro, Inc.'s receivables turnover over the past five years shows fluctuations. The receivables turnover ratio measures how efficiently a company collects outstanding credit balances from its customers during a specific period.
Hasbro's receivables turnover ratio has generally been increasing since 2019, indicating that the company has been able to collect its accounts receivable more quickly over the years. In 2023, the ratio stands at 4.86, which means that on average, Hasbro collected its outstanding receivables approximately 4.86 times during the year.
This improvement in receivables turnover could suggest that Hasbro has implemented more effective credit and collection policies, resulting in faster collections and reduced credit risk. An increasing trend in receivables turnover is generally viewed positively as it signifies a healthier cash flow cycle and better working capital management.
It is important for investors and analysts to monitor receivables turnover over time to assess the efficiency of a company's credit management and its ability to convert sales into cash. While the recent improvement in Hasbro's receivables turnover is a positive sign, continued monitoring of this ratio will be valuable to ensure sustained efficiency in the collection of accounts receivable.