Humana Inc (HUM)

Receivables turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	106,374,000	102,351,000	98,727,000	95,642,000	92,870,000	91,485,000	89,383,000	86,366,000	83,064,000	81,072,000	80,450,000	78,888,000	77,155,000	74,388,000	70,554,000	67,716,000	64,888,000	62,761,000	60,726,000	58,740,000
Receivables	US$ in thousands	2,035,000	1,824,000	1,429,000	3,107,000	1,674,000	1,609,000	3,369,000	3,174,000	1,814,000	1,879,000	2,438,000	2,196,000	1,138,000	1,135,000	2,238,000	2,009,000	1,056,000	848,000	904,000	1,955,000
Receivables turnover		52.27	56.11	69.09	30.78	55.48	56.86	26.53	27.21	45.79	43.15	33.00	35.92	67.80	65.54	31.53	33.71	61.45	74.01	67.17	30.05

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $106,374,000K ÷ $2,035,000K
= 52.27

The receivables turnover ratio for Humana Inc. has shown fluctuations over the past eight quarters. The ratio indicates how many times a company collects its average accounts receivable balance during a specific period.

In Q2 and Q3 of 2023, Humana had a relatively high receivables turnover of 69.09 and 56.11, respectively, suggesting that the company efficiently collected outstanding receivables during those periods. However, in Q1 of 2023, the turnover ratio dropped to 30.78, indicating a slower collection of accounts receivable compared to the previous quarters.

Looking back further, in Q2 and Q3 of 2022, the receivables turnover ratio was low at 26.53 and 27.21, respectively. This indicates that Humana took a longer time to collect outstanding receivables during those periods.

Overall, the fluctuations in the receivables turnover ratio for Humana Inc. suggest varying levels of efficiency in collecting payments from customers over the analyzed quarters. It is essential for the company to monitor and manage its accounts receivable effectively to maintain a healthy cash flow and liquidity position.