Gartner Inc (IT)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,999,420 | 5,479,130 | 4,676,650 | 3,994,620 | 4,181,240 |
| Receivables | US$ in thousands | 1,601,230 | 1,556,790 | 1,365,180 | 1,241,510 | 1,326,010 |
| Receivables turnover | 3.75 | 3.52 | 3.43 | 3.22 | 3.15 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $5,999,420K ÷ $1,601,230K
= 3.75
The receivables turnover for Gartner, Inc. has been steadily increasing over the past five years, indicating an improvement in the company's efficiency in collecting payments from customers.
The ratio increased from 3.20 in 2019 to 3.69 in 2023, demonstrating that the company was able to convert its accounts receivables into cash 3.69 times during 2023. This suggests that Gartner, Inc. has been managing its accounts receivables effectively, possibly through tighter credit policies or improved collection processes.
Overall, the increasing trend in the receivables turnover ratio reflects positively on the company's ability to efficiently manage its receivables, which can help in maintaining healthy cash flows and liquidity.
Peer comparison
Dec 31, 2023