L3Harris Technologies Inc (LHX)
Receivables turnover
| 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 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 20,087,000 | 19,568,000 | 18,902,000 | 18,236,000 | 17,656,000 | 17,116,000 | 16,782,000 | 16,590,000 | 16,603,000 | 17,318,000 | 17,769,000 | 18,027,000 | 18,239,000 | 17,836,000 | 17,910,000 | 17,934,000 | 15,359,000 | 12,664,000 | 9,727,000 | 6,633,000 |
| Receivables | US$ in thousands | 1,230,000 | 1,209,000 | 7,879,000 | 8,550,000 | 6,465,000 | 6,338,000 | 5,920,000 | 5,919,000 | — | — | 5,968,000 | — | — | 1,096,000 | 1,344,000 | 1,128,000 | 1,148,000 | 1,278,000 | 1,275,000 | 457,000 |
| Receivables turnover | 16.33 | 16.19 | 2.40 | 2.13 | 2.73 | 2.70 | 2.83 | 2.80 | — | — | 2.98 | — | — | 16.27 | 13.33 | 15.90 | 13.38 | 9.91 | 7.63 | 14.51 |
June 30, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $20,087,000K ÷ $1,230,000K
= 16.33
The receivables turnover ratio measures how efficiently a company is collecting payments from its customers. A higher turnover ratio indicates that the company is collecting its accounts receivable more quickly.
Looking at the data provided for L3Harris Technologies Inc, we observe fluctuations in the receivables turnover ratio over the periods. In some quarters, such as Jun 30, 2024, and Mar 31, 2024, the receivables turnover was relatively high at 16.33 and 16.19, respectively, indicating efficient collection of receivables during those periods.
However, the ratio dropped significantly in Dec 31, 2023, and Sep 30, 2023, to 2.40 and 2.13, respectively, suggesting a potential delay in collecting payments from customers during those quarters.
Overall, it is crucial for L3Harris Technologies Inc to monitor its receivables turnover ratio consistently to ensure a healthy balance between sales and collections. Any declining trend in the ratio may point towards possible issues in collecting receivables promptly, which could impact the company's cash flow and working capital management.
Peer comparison
Jun 30, 2024