Kraft Heinz Co (KHC)

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	25,793,000	25,128,000	25,349,000	25,547,000	25,670,000	26,151,000	26,178,000	26,150,000	25,729,000	23,928,000	23,469,000	23,040,000	23,202,000	24,866,000	25,001,000	25,170,000	25,036,000	24,643,000	24,255,000	24,180,000
Receivables	US$ in thousands	2,147,000	2,178,000	2,160,000	2,216,000	2,112,000	2,103,000	2,237,000	—	2,120,000	2,055,000	2,145,000	2,067,000	1,957,000	1,958,000	2,008,000	2,079,000	2,063,000	1,979,000	2,045,000	2,321,000
Receivables turnover		12.01	11.54	11.74	11.53	12.15	12.44	11.70	—	12.14	11.64	10.94	11.15	11.86	12.70	12.45	12.11	12.14	12.45	11.86	10.42

December 31, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $25,793,000K ÷ $2,147,000K
= 12.01

The receivables turnover ratio measures how efficiently a company is collecting cash from its customers. A higher receivables turnover ratio indicates that the company is collecting payments from its customers more quickly, which is typically a positive sign.

Analyzing the receivables turnover of Kraft Heinz Co over the past few quarters shows a fluctuating trend. The ratio has shown some variability, starting at 10.42 in March 2020, peaking at 12.70 in September 2021, and then slightly decreasing to 11.54 in September 2024. Overall, the company has been able to maintain a relatively healthy receivables turnover ratio above 10, showing consistent collections from customers.

It is important to note that a stable or increasing trend in the receivables turnover ratio indicates effective credit management practices and timely collections. However, a declining trend could signal potential issues with collecting receivables, such as customers delaying payments or credit risks.

Monitoring changes in the receivables turnover ratio can provide valuable insights into the company's liquidity management and credit policies, helping analysts assess the efficiency of Kraft Heinz Co in converting its accounts receivable into cash.