Leslies Inc (LESL)
Receivables turnover
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | ||
|---|---|---|---|---|
| Revenue | US$ in thousands | 1,385,770 | 1,531,880 | 1,299,340 |
| Receivables | US$ in thousands | 35,296 | 49,848 | 43,481 |
| Receivables turnover | 39.26 | 30.73 | 29.88 |
September 30, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $1,385,770K ÷ $35,296K
= 39.26
The receivables turnover of Leslies Inc has been showing a positive trend over the past three years. The ratio has been increasing steadily from 29.88 in 2021 to 30.73 in 2022 and further to 39.26 in 2023, indicating that the company is collecting its accounts receivables more frequently and efficiently.
A higher receivables turnover ratio suggests that the company is able to collect outstanding receivables more quickly, which can help improve cash flow and reduce the risk of bad debts. This could be attributed to effective credit policies, rigorous collection procedures, or a strong customer base with timely payment practices.
Overall, the improving trend in Leslies Inc's receivables turnover ratio reflects a healthy liquidity position and efficient management of its accounts receivables, which bodes well for the company's financial health and operational performance.
Peer comparison
Sep 30, 2023