Lockheed Martin Corporation (LMT)
Receivables turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 67,571,000 | 67,688,000 | 67,393,000 | 66,146,000 | 65,984,000 | 64,722,000 | 64,167,000 | 65,750,000 | 67,044,000 | 66,347,000 | 66,814,000 | 66,005,000 | 65,398,000 | 64,244,000 | 62,920,000 | 61,127,000 | 59,812,000 | 58,345,000 | 57,492,000 | 56,463,000 |
| Receivables | US$ in thousands | 2,132,000 | 2,405,000 | 3,427,000 | 2,583,000 | 2,505,000 | 2,484,000 | 3,401,000 | 2,527,000 | 1,963,000 | 2,267,000 | 2,611,000 | 2,214,000 | 1,978,000 | 2,480,000 | 2,835,000 | 2,892,000 | 2,337,000 | 2,384,000 | 2,546,000 | 2,833,000 |
| Receivables turnover | 31.69 | 28.14 | 19.67 | 25.61 | 26.34 | 26.06 | 18.87 | 26.02 | 34.15 | 29.27 | 25.59 | 29.81 | 33.06 | 25.90 | 22.19 | 21.14 | 25.59 | 24.47 | 22.58 | 19.93 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $67,571,000K ÷ $2,132,000K
= 31.69
The receivables turnover ratio measures how efficiently a company is collecting payments from its customers. It is calculated by dividing net credit sales by average accounts receivable. A higher turnover ratio generally indicates that the company is collecting receivables more quickly.
Looking at the receivables turnover for Lockheed Martin Corp. over the past eight quarters, we can see that there has been some fluctuation in the ratio. In the most recent quarter of December 31, 2023, the receivables turnover was 31.69, indicating a significant increase in the speed of receivables collection compared to the previous quarter, where it was 28.14.
The average turnover ratio during these eight periods is approximately 25.41. This suggests that, on average, Lockheed Martin is collecting its receivables fairly efficiently.
It's essential to delve deeper into the company's financial statements and industry benchmarks to gain a more comprehensive understanding of the receivables turnover and its impact on cash flow and overall financial performance.
See also:
Lockheed Martin Corporation Receivables Turnover (Quarterly Data)