Inter Parfums Inc (IPAR)

Receivables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	1,317,700	1,086,700	879,500	539,000	713,500
Receivables	US$ in thousands	254,943	226,544	169,799	128,678	135,233
Receivables turnover		5.17	4.80	5.18	4.19	5.28

December 31, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $1,317,700K ÷ $254,943K
= 5.17

Interpreting the receivables turnover ratio of Inter Parfums, Inc. over the past five years reveals fluctuations in the company's efficiency in collecting its accounts receivable. The ratio indicates how many times, on average, the company collects its accounts receivable during a period.

In 2023, the receivables turnover ratio improved to 5.17 from 4.80 in 2022, suggesting that the company collected its outstanding receivables more efficiently during the year. This signifies a positive trend in managing its accounts receivable turnover.

Comparing back to 2021, where the ratio was 5.18, the slight decrease in 2023 could indicate a small decline in the efficiency of collecting receivables compared to the previous year. However, the overall trend still remains relatively stable.

In 2020 and 2019, the company had lower turnover ratios of 4.19 and 5.28, respectively. The notable improvement from 2020 to 2021 and sustained levels in the subsequent years indicate a positive trend in managing and collecting receivables efficiently.

Overall, the company has shown fluctuations in its receivables turnover ratio in recent years but has generally maintained a satisfactory level of efficiency in collecting its accounts receivable, with slight variations from year to year.