Kennametal Inc (KMT)
Receivables turnover
| Jun 30, 2025 | Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,966,846 | 1,993,706 | 2,023,101 | 2,036,370 | 2,046,898 | 2,053,824 | 2,074,066 | 2,075,867 | 2,078,183 | 2,057,965 | 2,034,188 | 2,023,740 | 2,012,457 | 1,998,412 | 1,970,811 | 1,924,645 | 1,841,441 | 1,704,523 | 1,702,949 | 1,767,522 |
| Receivables | US$ in thousands | 295,401 | 290,944 | 254,141 | 282,464 | 302,810 | 303,456 | 290,547 | 288,655 | 307,313 | 313,866 | 291,016 | 278,716 | 295,346 | 311,635 | 272,592 | 279,726 | 302,945 | 303,210 | 275,151 | 249,992 |
| Receivables turnover | 6.66 | 6.85 | 7.96 | 7.21 | 6.76 | 6.77 | 7.14 | 7.19 | 6.76 | 6.56 | 6.99 | 7.26 | 6.81 | 6.41 | 7.23 | 6.88 | 6.08 | 5.62 | 6.19 | 7.07 |
June 30, 2025 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,966,846K ÷ $295,401K
= 6.66
The receivables turnover ratio for Kennametal Inc. demonstrates a generally stable and slightly upward trend over the observed period from September 30, 2020, through June 30, 2025. Initial data from September 2020 indicates a ratio of 7.07, which experiences some fluctuations but remains within a relatively narrow range throughout the subsequent periods.
Between September 2020 and December 2021, the ratio exhibits minor declines, reaching a low of approximately 5.62 in March 2021, suggestive of a temporary increase in receivables or a slowdown in collections. However, this is followed by a recovery to levels exceeding 6.88 by September 2021 and further strengthening to 7.23 in December 2021, indicating improved efficiency in collecting receivables.
From late 2021 through the middle of 2023, the ratio fluctuates narrowly around 6.41 to 7.26, illustrating relative consistency in the company's receivables collection process. Notably, there is a slight upward movement starting in late 2023, culminating in a peak near 7.96 at the end of 2024, which suggests enhanced collection efficiency or potentially improved credit management.
Overall, the ratio's trend reflects a stable receivables management performance with incremental improvements toward late 2024 before stabilizing around 6.85 to 7.21 in the subsequent periods. This pattern indicates that Kennametal Inc. maintains a relatively steady approach to net receivables collection, with occasional fluctuations likely tied to seasonal factors or shifts in credit policies. The consistent ratio levels suggest effective management of accounts receivable and a moderate cycle for converting receivables into cash.