Helen of Troy Ltd (HELE)
Receivables turnover
| Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,951,649 | 1,945,114 | 1,954,029 | 1,988,120 | 2,032,319 | 2,141,123 | 2,217,356 | 2,177,293 | 2,210,480 | 2,138,035 | 2,151,168 | 2,207,303 | 2,086,058 | 2,022,215 | 1,859,374 | 1,742,097 | 1,698,141 | 1,640,619 | 1,596,759 | 1,576,773 |
| Receivables | US$ in thousands | 394,536 | 463,323 | 387,498 | 349,699 | 377,604 | 505,555 | 507,261 | 475,904 | 457,623 | 505,933 | 429,178 | 406,409 | 382,449 | 500,070 | 402,027 | 332,769 | 348,023 | 365,543 | 310,377 | 262,511 |
| Receivables turnover | 4.95 | 4.20 | 5.04 | 5.69 | 5.38 | 4.24 | 4.37 | 4.58 | 4.83 | 4.23 | 5.01 | 5.43 | 5.45 | 4.04 | 4.62 | 5.24 | 4.88 | 4.49 | 5.14 | 6.01 |
February 29, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,951,649K ÷ $394,536K
= 4.95
The receivables turnover ratio for Helen of Troy Ltd has shown some fluctuations over the past 20 periods. The ratio indicates how efficiently the company is able to collect on its credit sales. A higher turnover ratio is generally preferred as it suggests that the company is able to collect its accounts receivable more quickly.
Looking at the data provided, the receivables turnover ratio has varied between 4.04 and 6.01 over the periods analyzed. The ratio has generally been above 4, indicating that Helen of Troy Ltd has been able to efficiently collect its accounts receivable.
The highest receivables turnover ratio of 6.01 was observed in the period ending Nov 30, 2019, suggesting that the company was exceptionally efficient in collecting its receivables during that period. On the other hand, the lowest turnover ratio of 4.04 was seen in the period ending Feb 28, 2021, which may indicate a slower collection of accounts receivable during that time.
Overall, the company's receivables turnover ratio has shown some volatility but has consistently been above 4, which is a positive sign. It is essential for Helen of Troy Ltd to maintain an efficient collection process to ensure a steady cash flow and healthy liquidity position.