Kenvue Inc. (KVUE)
Receivables turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | ||
|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 15,369,000 | 15,389,000 | 15,294,000 | 15,238,000 | 15,291,000 |
| Receivables | US$ in thousands | 2,165,000 | 2,394,000 | 2,240,000 | 2,160,000 | 2,073,000 |
| Receivables turnover | 7.10 | 6.43 | 6.83 | 7.05 | 7.38 |
December 31, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $15,369,000K ÷ $2,165,000K
= 7.10
The receivables turnover ratio for Kenvue Inc. has shown some fluctuations over the past year. As of December 31, 2023, the ratio stood at 7.38, indicating that the company collected its accounts receivable approximately 7.38 times during that period. Subsequently, the ratio decreased to 7.05 by March 31, 2024, and further declined to 6.83 by June 30, 2024. This suggests a potential slowdown in the collection of receivables during these periods.
However, there was a slight improvement in the receivables turnover ratio by September 30, 2024, as it increased to 6.43. This rise indicates that the company may have enhanced its collections efficiency during that quarter. By the end of the year, on December 31, 2024, the turnover ratio rebounded to 7.10, surpassing the previous two periods.
Overall, fluctuations in the receivables turnover ratio can signify changes in the company's credit policies, the effectiveness of its collections efforts, or shifts in customer payment behaviors. Further analysis of the underlying reasons behind these fluctuations could provide insights into the company's receivables management and overall financial performance.
Peer comparison
Dec 31, 2024