Masimo Corporation (MASI)

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	2,027,700	2,041,700	2,025,400	1,980,800	2,054,500	2,137,700	2,211,700	2,330,200	2,062,041	1,774,419	1,519,833	1,244,351	1,239,153	1,206,629	1,177,327	1,173,162	1,143,744	1,096,200	1,047,099	975,798
Receivables	US$ in thousands	19,600	411,100	370,100	364,100	384,100	383,700	373,700	—	19,100	—	—	—	203,175	—	—	—	—	—	—	—
Receivables turnover		103.45	4.97	5.47	5.44	5.35	5.57	5.92	—	107.96	—	—	—	6.10	—	—	—	—	—	—	—

December 31, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $2,027,700K ÷ $19,600K
= 103.45

The receivables turnover for Masimo Corporation has varied over the years. It was not computed for the periods until December 31, 2021. However, the ratio started to be calculated from March 31, 2022, with a value of 107.96 times. This suggests that Masimo Corporation collected its accounts receivable nearly 108 times during that period.

The trend continued with a single-digit turnover in the subsequent quarters, ranging from 5.35 to 5.92 times. However, there was a significant increase to 103.45 times by December 31, 2024, which indicates the company more than doubled its collections in that period compared to the previous quarters.

This fluctuation may be due to various factors such as changes in sales volume, credit policies, collection efficiency, or customer payment behavior. It is essential for Masimo Corporation to monitor this ratio regularly to ensure efficient management of its accounts receivable and optimize cash flow.