Korn Ferry (KFY)
Receivables turnover
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 2,741,182 | 2,741,517 | 2,772,004 | 2,795,505 | 2,833,706 | 2,843,678 | 2,866,950 | 2,863,836 | 2,852,715 | 2,850,826 | 2,758,505 | 2,643,455 | 2,473,846 | 2,266,770 | 2,061,161 | 1,819,946 | 1,711,528 | 1,761,627 | 1,828,015 | 1,977,330 |
| Receivables | US$ in thousands | 575,703 | 579,696 | 622,625 | 581,710 | 652,737 | 658,281 | 650,776 | 637,113 | 693,772 | 718,478 | 672,247 | 622,144 | 645,054 | 645,656 | 547,034 | 488,757 | 493,602 | 488,388 | 417,400 | 435,920 |
| Receivables turnover | 4.76 | 4.73 | 4.45 | 4.81 | 4.34 | 4.32 | 4.41 | 4.50 | 4.11 | 3.97 | 4.10 | 4.25 | 3.84 | 3.51 | 3.77 | 3.72 | 3.47 | 3.61 | 4.38 | 4.54 |
January 31, 2025 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $2,741,182K ÷ $575,703K
= 4.76
The receivables turnover ratio for Korn Ferry exhibits notable fluctuations over the analyzed period from April 2020 through January 2025. Initially, at the end of April 2020, the ratio stood at 4.54, indicating that the company collected its average receivables approximately 4.54 times during that fiscal period. This ratio experienced a gradual decline throughout 2020, reaching its lowest point at 3.47 by January 2021. The decrease during this period suggests a lengthening of receivable collection cycles, potentially due to operational challenges or changes in customer payment behavior amid the COVID-19 pandemic.
Starting in early 2021, the ratio shows signs of stabilization and subsequent improvement. By April 2021, it slightly increased to 3.72, and further improved to 3.84 by January 2022. The trend continues, with ratios surpassing pre-pandemic levels: reaching 4.25 in April 2022 and maintaining relatively high levels through 2022 and into 2023, with the ratio at 4.50 in April 2023. This upward trend reflects an improvement in collection efficiency and possibly enhanced credit management practices.
In the subsequent periods, the receivables turnover remains relatively steady, fluctuating around the 4.0 to 4.5 range, with a peak at 4.81 in April 2024. The latest data from January 2025 indicates a ratio of 4.76, suggesting that Korn Ferry continues to effectively collect receivables, maintaining high collection efficiency over the period analyzed.
Overall, the data indicates an initial slowdown in receivable collections during the pandemic period, followed by a recovery and relatively stable, efficient collection cycle in subsequent years. The rising trend in receivables turnover ratio points to improved or sustained effectiveness in managing receivables and credit policies.
Peer comparison
Jan 31, 2025