MasterBrand Inc. (MBC)
Receivables turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | ||
|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 2,700,400 | 2,709,800 | 2,669,000 | 2,687,600 |
| Receivables | US$ in thousands | 191,000 | 216,100 | 213,500 | 224,400 |
| Receivables turnover | 14.14 | 12.54 | 12.50 | 11.98 |
December 31, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $2,700,400K ÷ $191,000K
= 14.14
To analyze MasterBrand Inc.'s receivables turnover, we will calculate the receivables turnover ratio for each quarter based on the provided data:
Receivables Turnover Ratio = Net Credit Sales / Average Accounts Receivable
For the fiscal year 2024, the receivables turnover ratios are as follows:
- March 31, 2024: 11.98
- June 30, 2024: 12.50
- September 30, 2024: 12.54
- December 31, 2024: 14.14
The trend indicates an improvement in receivables turnover throughout the year, with the ratio increasing from 11.98 to 14.14. This suggests that MasterBrand Inc. is collecting its accounts receivable more efficiently in the latter part of the year.
A higher receivables turnover ratio signifies that the company is more effective in collecting payments from customers and converting credit sales into cash quickly. This improved efficiency can lead to enhanced cash flow, reduced credit risk, and better liquidity for the company.
Overall, the increasing trend in MasterBrand Inc.'s receivables turnover ratio throughout the year reflects a positive development in its accounts receivable management and indicates a healthy financial position.
Peer comparison
Dec 31, 2024