Hilton Worldwide Holdings Inc (HLT)

Receivables turnover

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Revenue (ttm)	US$ in thousands	11,043,000	11,217,000	10,906,000	10,499,000	10,235,000	10,008,000	9,717,000	9,323,000	8,773,000	8,175,000	7,564,000	6,642,000	5,788,000	4,873,000	4,027,000	3,245,000	4,307,000	5,754,000	7,246,000	9,181,000
Receivables	US$ in thousands	1,583,000	1,597,000	1,578,000	1,467,000	1,487,000	1,396,000	1,402,000	1,298,000	1,327,000	1,278,000	1,289,000	1,054,000	1,068,000	1,012,000	952,000	797,000	771,000	890,000	827,000	1,111,000
Receivables turnover		6.98	7.02	6.91	7.16	6.88	7.17	6.93	7.18	6.61	6.40	5.87	6.30	5.42	4.82	4.23	4.07	5.59	6.47	8.76	8.26

December 31, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $11,043,000K ÷ $1,583,000K
= 6.98

The receivables turnover for Hilton Worldwide Holdings Inc has shown fluctuations over the reported period. The ratio measures how efficiently the company collects outstanding receivables from customers during a specific period.

The trend indicates that Hilton's receivables turnover decreased from 8.26 as of March 31, 2020, to 6.98 as of December 31, 2024. This decline suggests that the company may be taking longer to collect payments from customers, which could potentially impact its cash flow and working capital management.

Although there have been fluctuations in the receivables turnover ratio, it is essential to further analyze the company's credit policies, collection efforts, and customer payment behavior to understand the underlying reasons for the changes observed in the ratio. Additionally, comparing the receivables turnover ratio with industry benchmarks could provide further insights into Hilton's efficiency in managing its accounts receivable.