Kontoor Brands Inc (KTB)

Receivables turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	2,620,280	2,579,340	2,604,520	2,434,200	2,097,840
Receivables	US$ in thousands	243,660	217,673	225,858	289,800	231,397
Receivables turnover		10.75	11.85	11.53	8.40	9.07

December 31, 2024 calculation

Receivables turnover = Revenue ÷ Receivables
= $2,620,280K ÷ $243,660K
= 10.75

The receivables turnover ratio for Kontoor Brands Inc has shown fluctuations over the past five years. In 2020, the ratio was 9.07, indicating that the company collected its accounts receivable approximately 9 times within the year. This ratio decreased to 8.40 in 2021, suggesting that the company took slightly longer to collect its receivables during that year.

In 2022, there was a significant improvement in the receivables turnover ratio, which rose to 11.53, indicating that Kontoor Brands Inc was able to collect its receivables more efficiently compared to the previous years. This upward trend continued in 2023, with a ratio of 11.85, further demonstrating the company's effectiveness in collecting outstanding payments from customers.

However, in 2024, there was a slight decrease in the receivables turnover ratio to 10.75, indicating a potential slowdown in the collection of accounts receivable compared to the previous year. Overall, these fluctuations in the receivables turnover ratio reflect the company's performance in managing its accounts receivable and collecting payments from customers efficiently over the past five years.