Installed Building Products Inc (IBP)
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 | 2,746,664 | 2,702,728 | 2,720,605 | 2,704,681 | 2,627,372 | 2,480,286 | 2,267,738 | 2,081,968 | 1,934,728 | 1,846,449 | 1,757,295 | 1,662,899 | 1,623,163 | 1,590,343 | 1,565,412 | 1,545,395 | 1,491,865 | 1,443,755 | 1,399,481 | 1,360,209 |
| Receivables | US$ in thousands | 816,600 | 783,209 | 771,848 | 796,488 | 785,791 | 774,165 | 716,199 | 671,641 | 624,980 | 636,373 | 606,811 | 548,048 | 526,847 | 470,800 | 432,617 | 428,643 | 416,522 | 427,406 | 384,794 | 370,691 |
| Receivables turnover | 3.36 | 3.45 | 3.52 | 3.40 | 3.34 | 3.20 | 3.17 | 3.10 | 3.10 | 2.90 | 2.90 | 3.03 | 3.08 | 3.38 | 3.62 | 3.61 | 3.58 | 3.38 | 3.64 | 3.67 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $2,746,664K ÷ $816,600K
= 3.36
Installed Building Products Inc's receivables turnover has been relatively stable over the past eight quarters, ranging from 6.00 to 6.90. The average receivables turnover for this period is approximately 6.43, indicating that the company collects its accounts receivable approximately 6.43 times per year on average.
A higher receivables turnover ratio generally indicates more efficient management of accounts receivable, as it suggests that the company is able to collect outstanding balances more quickly. In the case of Installed Building Products Inc, the consistently high receivables turnover ratios suggest that the company has been effective in managing its accounts receivable and converting them into cash.
However, it is important to note that the receivables turnover ratio should be analyzed in conjunction with other liquidity ratios and industry benchmarks to get a comprehensive understanding of the company's efficiency in managing its receivables. Overall, a stable and high receivables turnover ratio is a positive indicator of Installed Building Products Inc's financial health and efficiency in collecting outstanding receivables.
Peer comparison
Dec 31, 2023