Harmony Biosciences Holdings (HRMY)

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
Revenue (ttm)	US$ in thousands	710,199	672,548	630,000	585,184	548,499	507,747	476,532	451,378	419,060	383,158	319,980	290,957	268,890	236,824	233,336
Receivables	US$ in thousands	83,033	81,502	83,157	79,719	74,140	67,264	63,812	52,575	54,740	55,065	49,822	38,133	34,843	33,206	31,196
Receivables turnover		8.55	8.25	7.58	7.34	7.40	7.55	7.47	8.59	7.66	6.96	6.42	7.63	7.72	7.13	7.48

December 31, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $710,199K ÷ $83,033K
= 8.55

The receivables turnover for Harmony Biosciences Holdings has shown variability over the periods provided. The ratio indicates how efficiently the company is able to collect on its credit sales during a specific time frame.

From June 30, 2021, to December 31, 2022, the receivables turnover remained relatively stable, fluctuating between 7.13 and 7.72 times. This suggests that on average, during this period, the company collected its outstanding receivables approximately 7 times a year.

There was a notable decrease in receivables turnover from June 30, 2022, to September 30, 2022, dropping from 6.42 to 6.96 times. However, the ratio improved steadily from there, reaching its peak at 8.59 times on March 31, 2023.

Subsequently, the ratio fluctuated within a narrower range, ranging between 7.40 and 8.55 times from December 31, 2023, to December 31, 2024. This indicates that the company was maintaining a relatively consistent pace at collecting its accounts receivable during this period.

Overall, while there were some fluctuations in the receivables turnover ratio, Harmony Biosciences Holdings generally demonstrated efficient collection of its credit sales over the periods provided. A higher turnover ratio implies that the company is effectively managing its accounts receivable and converting them into cash quicker, which is a positive indicator of liquidity and financial health.