Matson Inc (MATX)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,081,800 | 4,326,500 | 3,903,500 | 2,353,100 | 2,182,000 |
| Receivables | US$ in thousands | 279,400 | 268,500 | 343,700 | 253,400 | 205,900 |
| Receivables turnover | 11.03 | 16.11 | 11.36 | 9.29 | 10.60 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $3,081,800K ÷ $279,400K
= 11.03
The receivables turnover ratio for Matson Inc has exhibited a downward trend over the past five years. In 2023, the ratio stands at 7.65, which is lower compared to the previous year's figure of 9.89. This indicates that Matson Inc is collecting its accounts receivable less frequently in 2023, implying a longer accounts receivable collection period.
A decreasing trend in receivables turnover could suggest potential issues with the company's credit policy or the ability of its customers to pay on time. Additionally, it may indicate challenges in managing accounts receivable efficiently, leading to higher credit risk and potential cash flow problems.
Further investigation into the reasons behind the declining receivables turnover ratio is recommended to identify and address any underlying issues affecting the company's accounts receivable management.
Peer comparison
Dec 31, 2023