Nordstrom Inc (JWN)
Receivables turnover
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,693,000 | 15,530,000 | 14,789,000 | 10,715,000 | 15,524,000 |
| Receivables | US$ in thousands | 334,000 | 265,000 | 255,000 | 245,000 | 179,000 |
| Receivables turnover | 43.99 | 58.60 | 58.00 | 43.73 | 86.73 |
February 3, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $14,693,000K ÷ $334,000K
= 43.99
The receivables turnover ratio for Nordstrom Inc has fluctuated over the past five years. In fiscal year 2020, the company had a high receivables turnover of 86.73, indicating that it collected its accounts receivables almost 87 times during the year, which suggests efficient collection practices. However, in fiscal year 2021 and 2024, the receivables turnover ratio decreased to 43.73 and 43.99, respectively, indicating that the company took longer to collect its accounts receivables during those periods.
Despite the decrease in recent years, Nordstrom Inc's receivables turnover ratio remains relatively healthy and stable, demonstrating effective management of its accounts receivables. It is important for the company to closely monitor this ratio to ensure timely collections and efficient working capital management.
Peer comparison
Feb 3, 2024