Johnson Controls International PLC (JCI)
Receivables turnover
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 22,946,000 | 27,224,000 | 26,966,000 | 26,831,000 | 26,865,000 | 26,291,000 | 25,891,000 | 25,349,000 | 25,213,000 | 25,100,000 | 24,823,000 | 24,458,000 | 23,809,000 | 23,275,000 | 22,325,000 | 22,002,000 | 22,321,000 | 22,611,000 | 23,606,000 | 23,983,000 |
| Receivables | US$ in thousands | 6,156,000 | 6,673,000 | 6,694,000 | 6,051,000 | 6,077,000 | 6,550,000 | 6,012,000 | 5,732,000 | 5,791,000 | 5,919,000 | 5,757,000 | 5,734,000 | 5,811,000 | 5,746,000 | 5,234,000 | 5,233,000 | 5,599,000 | 5,399,000 | 5,534,000 | 5,646,000 |
| Receivables turnover | 3.73 | 4.08 | 4.03 | 4.43 | 4.42 | 4.01 | 4.31 | 4.42 | 4.35 | 4.24 | 4.31 | 4.27 | 4.10 | 4.05 | 4.27 | 4.20 | 3.99 | 4.19 | 4.27 | 4.25 |
September 30, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $22,946,000K ÷ $6,156,000K
= 3.73
The receivables turnover of Johnson Controls International PLC has shown some fluctuations over the past few quarters. Receivables turnover measures how efficiently a company is able to collect its outstanding receivables during a specific period.
Looking at the trend from December 2019 to September 2024, we observe that the receivables turnover ratio has ranged from 3.73 to 4.43. The ratio peaked at 4.43 in the December 2023 quarter before slightly declining in subsequent quarters.
A higher receivables turnover ratio indicates that the company is more effective in collecting cash from its customers and turning accounts receivable into cash. A consistent or increasing trend in the receivables turnover ratio is generally seen as a positive sign of efficient operations, as it implies faster collection of outstanding receivables.
On the other hand, a declining trend in the receivables turnover ratio can suggest potential issues with collections or the company's credit policies. It may indicate that the company is struggling to collect payments from its customers in a timely manner.
In the case of Johnson Controls International PLC, the fluctuations in the receivables turnover ratio should be further investigated to understand the underlying reasons for the changes. Additional analysis of the company's accounts receivable management practices, customer payment trends, and changes in credit policies may provide more insights into the efficiency of the company's receivables management.
Peer comparison
Sep 30, 2024
See also:
Johnson Controls International PLC Receivables Turnover (Quarterly Data)