Kadant Inc (KAI)
Receivables turnover
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,050,980 | 1,018,692 | 994,700 | 967,892 | 950,662 | 940,848 | 921,395 | 898,831 | 896,492 | 886,251 | 861,715 | 835,956 | 782,025 | 731,855 | 686,323 | 642,488 | 627,800 | 643,346 | 660,835 | 683,520 |
| Receivables | US$ in thousands | 142,462 | 154,965 | 149,689 | 149,586 | 133,929 | 140,075 | 135,633 | — | 130,297 | — | — | — | 117,209 | — | — | — | — | — | — | — |
| Receivables turnover | 7.38 | 6.57 | 6.65 | 6.47 | 7.10 | 6.72 | 6.79 | — | 6.88 | — | — | — | 6.67 | — | — | — | — | — | — | — |
December 31, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,050,980K ÷ $142,462K
= 7.38
The receivables turnover ratio for Kadant Inc has shown variability over the period analyzed. The ratio was not available between March 31, 2020, and June 30, 2021, indicating a lack of data or potentially a significant change in the company's operations during that time.
From December 31, 2021, to June 30, 2024, the receivables turnover ratio ranged between 6.47 and 7.38 times. This suggests that on average, receivables were collected and converted into cash approximately 6.47 to 7.38 times during each respective period.
The noticeable improvement seen from September 30, 2023, to December 31, 2024, where the ratio increased from 6.57 to 7.38, indicates more efficient management of accounts receivable. A higher receivables turnover ratio is generally preferred as it signifies that the company is collecting outstanding credit sales more quickly.
Overall, the increasing trend in the receivables turnover ratio indicates improved efficiency in collecting receivables, which is a positive sign for Kadant Inc's liquidity and potentially reflects effective credit management practices.
Peer comparison
Dec 31, 2024