Innoviva Inc (INVA)

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	291,306	265,493	264,791	292,746	287,188	335,952	366,863	358,359	372,796	355,782	346,801	325,125	318,463	308,609	285,580	270,641	247,045	250,932	246,312	253,952
Receivables	US$ in thousands	69,621	57,014	65,721	60,314	54,672	65,606	111,676	93,515	110,711	101,271	104,262	88,974	93,931	92,150	82,402	82,134	79,427	69,211	67,563	58,639
Receivables turnover		4.18	4.66	4.03	4.85	5.25	5.12	3.29	3.83	3.37	3.51	3.33	3.65	3.39	3.35	3.47	3.30	3.11	3.63	3.65	4.33

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $291,306K ÷ $69,621K
= 4.18

The receivables turnover of Innoviva Inc has fluctuated over the past eight quarters, ranging from a low of 19.01 in Q2 2023 to a high of 55.35 in Q3 2022. This ratio indicates how efficiently the company is collecting payments from its customers. A higher turnover ratio suggests that the company is collecting its accounts receivable more quickly.

In general, a higher receivables turnover is favorable as it implies that the company is effectively managing its accounts receivable and converting them into cash. Conversely, a lower turnover ratio may indicate inefficiencies in collecting payments or potential issues with credit policies.

It is essential to analyze the trend of receivables turnover over time to identify any patterns or anomalies that may require further investigation. In this case, Innoviva Inc should continue monitoring its receivables turnover to ensure timely collections and efficient management of accounts receivable.