Johnson & Johnson (JNJ)

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	88,632,000	87,176,000	85,962,000	84,760,000	87,282,000	91,851,000	95,224,000	94,514,000	93,356,000	91,027,000	88,747,000	83,766,000	82,174,000	80,742,000	80,385,000	82,573,000	81,826,000	81,473,000	80,897,000	81,248,000
Receivables	US$ in thousands	14,873,000	14,798,000	16,777,000	—	16,160,000	—	—	—	15,283,000	—	—	—	—	—	—	—	—	—	—	—
Receivables turnover		5.96	5.89	5.12	—	5.40	—	—	—	6.11	—	—	—	—	—	—	—	—	—	—	—

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $88,632,000K ÷ $14,873,000K
= 5.96

The receivables turnover ratio for Johnson & Johnson has been fluctuating over the past eight quarters, ranging from 5.73 to 6.44. This ratio measures how efficiently the company is able to collect payments from its customers. A higher receivables turnover ratio generally indicates that the company is collecting payments more quickly, which is a positive sign.

In Q3 2023, the receivables turnover ratio was 6.44, the highest among the quarters analyzed. This suggests that Johnson & Johnson was able to efficiently collect payments from its customers during that period. Conversely, in Q4 2023, the ratio decreased to 5.73, indicating a potential slowdown in customer payment collection.

Overall, Johnson & Johnson's receivables turnover ratio has remained relatively consistent over the quarters, hovering around the 6 mark. This consistency may indicate that the company has effective credit policies in place and is managing its accounts receivable well. However, fluctuations in the ratio could signal changes in the company's ability to collect payments, which may warrant further investigation.