Jazz Pharmaceuticals PLC (JAZZ)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,809,840 | 3,569,430 | 2,999,690 | 2,284,420 | 2,097,480 |
| Receivables | US$ in thousands | 705,794 | 651,493 | 563,360 | 396,490 | 355,987 |
| Receivables turnover | 5.40 | 5.48 | 5.32 | 5.76 | 5.89 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $3,809,840K ÷ $705,794K
= 5.40
The receivables turnover ratio for Jazz Pharmaceuticals plc has been relatively stable over the past five years, ranging between 5.43 and 6.07. This ratio indicates how efficiently the company is able to collect outstanding receivables from its customers during a given period.
A higher receivables turnover ratio suggests that the company is more effective in collecting payments from customers, which is a positive sign of liquidity and efficiency. Conversely, a lower ratio could indicate potential issues with collecting receivables in a timely manner.
While the slight fluctuations in the receivables turnover ratio for Jazz Pharmaceuticals plc may not be significant, the company should continue to monitor this metric to ensure effective management of its accounts receivable and maintain healthy cash flow.
Peer comparison
Dec 31, 2023