Nordstrom Inc (JWN)
Receivables turnover
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 14,693,000 | 14,592,000 | 14,818,000 | 15,141,000 | 15,529,000 | 15,696,000 | 15,787,000 | 15,349,000 | 14,789,000 | 13,948,000 | 13,400,000 | 11,605,000 | 10,715,000 | 11,607,000 | 12,190,000 | 14,200,000 | 15,524,000 | 15,470,000 | 15,546,000 | 15,741,000 |
| Receivables | US$ in thousands | 334,000 | 322,000 | 246,000 | 279,000 | 265,000 | 288,000 | 300,000 | 297,000 | 255,000 | 273,000 | 317,000 | 238,000 | 245,000 | 256,000 | 146,000 | 154,000 | 179,000 | 234,000 | 211,000 | 233,000 |
| Receivables turnover | 43.99 | 45.32 | 60.24 | 54.27 | 58.60 | 54.50 | 52.62 | 51.68 | 58.00 | 51.09 | 42.27 | 48.76 | 43.73 | 45.34 | 83.49 | 92.21 | 86.73 | 66.11 | 73.68 | 67.56 |
February 3, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $14,693,000K ÷ $334,000K
= 43.99
The receivables turnover ratio for Nordstrom Inc has shown fluctuations over the past few quarters. The ratio indicates how efficiently the company is able to collect outstanding receivables from its customers during a specific period. Generally, a higher receivables turnover ratio is preferred as it signifies that the company is collecting its outstanding receivables more rapidly.
In the most recent quarter, as of February 3, 2024, Nordstrom Inc's receivables turnover ratio was 43.99, which was slightly lower compared to the turnover ratios in the preceding quarters. This may indicate a slower collection of receivables during that period.
Looking at the trend over the past several quarters, the company experienced a peak in receivables turnover in May 2020 with a ratio of 92.21, indicating a significant improvement in the collection of receivables at that time. However, the ratio has since fluctuated, with some quarters showing lower turnover ratios such as in October 2021 at 42.27.
It is important for Nordstrom Inc to monitor its receivables turnover consistently to ensure efficient management of its accounts receivables and maintain healthy cash flows. Analyzing the reasons behind the fluctuations in the turnover ratio can help the company improve its collection processes and overall financial performance.
Peer comparison
Feb 3, 2024