Landstar System Inc (LSTR)
Receivables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,819,240 | 5,303,320 | 7,436,560 | 6,537,570 | 4,132,980 |
| Receivables | US$ in thousands | 683,841 | 743,762 | 967,793 | 1,154,310 | 764,169 |
| Receivables turnover | 7.05 | 7.13 | 7.68 | 5.66 | 5.41 |
December 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $4,819,240K ÷ $683,841K
= 7.05
The receivables turnover for Landstar System Inc has shown a positive trend over the past five years, increasing from 5.41 in December 2020 to 7.05 in December 2024. This indicates that the company is collecting its accounts receivables more efficiently each year, with a peak turnover of 7.68 in December 2022. A higher receivables turnover ratio signifies that the company is effectively managing its receivables by converting them into cash quickly. However, the slight decrease in the ratio from 2022 to 2024 may suggest a potential slowdown in receivables collection efficiency, which warrants further monitoring to ensure optimal cash flow management. Overall, Landstar System Inc's receivables turnover reflects a healthy ability to convert credit sales into cash, indicating good liquidity and effective credit management practices.
Peer comparison
Dec 31, 2024