Heidrick & Struggles International (HSII)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,041,180 | 1,083,590 | 1,008,470 | 629,370 | 725,614 |
| Receivables | US$ in thousands | 133,128 | 161,725 | 170,692 | 107,775 | 135,834 |
| Receivables turnover | 7.82 | 6.70 | 5.91 | 5.84 | 5.34 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $1,041,180K ÷ $133,128K
= 7.82
Heidrick & Struggles International, Inc.'s receivables turnover has shown a consistent trend of improvement over the past five years, growing from 6.39 in 2019 to 7.25 in 2023. This indicates that the company is collecting its accounts receivable more efficiently each year. A higher receivables turnover ratio typically suggests that the company is aggressive in collecting outstanding receivables or that it has efficient credit policies in place.
With a receivables turnover above 6 for the past five years, Heidrick & Struggles International, Inc. appears to have a strong ability to convert its accounts receivable into cash. This reflects positively on the company's liquidity and indicates effective management of its working capital. Further analysis of the company's collection policies and credit terms could provide insights into the specific factors driving this trend in receivables turnover. Overall, a consistently improving receivables turnover ratio suggests that Heidrick & Struggles International, Inc. has been successful in managing its accounts receivable efficiently over the years.
Peer comparison
Dec 31, 2023