Keurig Dr Pepper Inc (KDP)
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 | 15,293,000 | 14,562,000 | 14,344,000 | 14,243,000 | 14,303,000 | 14,206,000 | 14,054,000 | 13,647,000 | 13,249,000 | 13,493,000 | 13,211,000 | 13,017,000 | 12,737,000 | 11,774,000 | 11,512,000 | 11,201,000 | 11,024,000 | 10,824,000 | 10,664,000 | 10,601,000 |
| Receivables | US$ in thousands | 1,723,000 | 1,616,000 | 1,524,000 | 1,449,000 | 1,519,000 | 1,409,000 | 1,447,000 | 1,606,000 | 1,668,000 | 1,631,000 | 1,471,000 | 1,358,000 | 1,274,000 | 1,261,000 | 1,162,000 | 1,149,000 | 1,144,000 | 1,118,000 | 1,075,000 | 1,097,000 |
| Receivables turnover | 8.88 | 9.01 | 9.41 | 9.83 | 9.42 | 10.08 | 9.71 | 8.50 | 7.94 | 8.27 | 8.98 | 9.59 | 10.00 | 9.34 | 9.91 | 9.75 | 9.64 | 9.68 | 9.92 | 9.66 |
December 31, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $15,293,000K ÷ $1,723,000K
= 8.88
The receivables turnover ratio of Keurig Dr Pepper Inc has exhibited fluctuations over the past few years. The ratio was relatively stable around the range of 9.5 to 10.0 from March 2020 to December 2021, indicative of a consistent ability to efficiently collect receivables during that period. However, from March 2022 onwards, the ratio started to decline, hitting a low of 7.94 by December 2022.
The declining trend in the receivables turnover ratio from March 2022 to December 2024 suggests potential challenges in the company's receivables management. A lower ratio indicates that Keurig Dr Pepper Inc is taking longer to collect its accounts receivable, which could lead to cash flow issues and liquidity concerns.
It is important for the company to closely monitor and improve its receivables turnover ratio to ensure timely collection of outstanding payments from customers. This may involve reassessing credit policies, enhancing collection efforts, and addressing any inefficiencies in the invoicing and payment processes.
Peer comparison
Dec 31, 2024