Laboratory Corporation of America Holdings (LH)
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 | 13,008,900 | 12,712,800 | 12,487,600 | 12,300,400 | 12,161,600 | 15,070,900 | 14,880,900 | 14,770,200 | 15,632,000 | 13,745,500 | 14,941,300 | 15,859,000 | 16,120,900 | 16,554,600 | 16,388,100 | 15,316,200 | 13,978,500 | 12,442,100 | 11,474,500 | 11,587,400 |
| Receivables | US$ in thousands | 1,936,500 | 2,056,900 | 2,087,100 | 2,076,300 | 1,905,800 | 1,948,100 | 1,893,900 | 2,334,000 | 2,211,500 | 2,153,300 | 2,205,000 | 2,226,400 | 2,247,500 | 2,335,400 | 2,210,100 | 2,323,500 | 2,479,800 | 2,095,200 | 1,661,000 | 1,482,200 |
| Receivables turnover | 6.72 | 6.18 | 5.98 | 5.92 | 6.38 | 7.74 | 7.86 | 6.33 | 7.07 | 6.38 | 6.78 | 7.12 | 7.17 | 7.09 | 7.42 | 6.59 | 5.64 | 5.94 | 6.91 | 7.82 |
December 31, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $13,008,900K ÷ $1,936,500K
= 6.72
Laboratory Corporation of America Holdings' receivables turnover has exhibited some fluctuations over the reported periods. The turnover ratio indicates how efficiently the company is managing its accounts receivable by converting them into cash.
From March 31, 2020, to June 30, 2020, there was a decrease in the receivables turnover from 7.82 to 6.91. This decline suggests a potential increase in the time it takes for the company to collect outstanding receivables. However, the ratio improved in the following periods, reaching a peak of 7.86 by June 30, 2023.
The variations in the turnover ratio may be influenced by numerous factors, including the company's credit policies, the efficiency of its collections process, and overall economic conditions. The average turnover ratio over the period under consideration could provide a clearer view of how effectively Laboratory Corporation of America Holdings is managing its accounts receivable.
Peer comparison
Dec 31, 2024