Meta Platforms Inc. (META)
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 | 163,810,000 | 155,720,000 | 149,140,000 | 141,953,000 | 134,089,000 | 126,404,000 | 120,105,000 | 117,039,000 | 116,352,000 | 117,959,000 | 119,255,000 | 119,510,000 | 117,773,000 | 112,186,000 | 104,646,000 | 94,256,000 | 85,823,000 | 78,849,000 | 75,031,000 | 73,231,000 |
| Receivables | US$ in thousands | 16,994,000 | 14,700,000 | 14,505,000 | 13,430,000 | 16,169,000 | 12,944,000 | 12,511,000 | 11,044,000 | 13,466,000 | 11,227,000 | 11,525,000 | 11,390,000 | 14,039,000 | 12,088,000 | 11,698,000 | 10,276,000 | 11,335,000 | 8,024,000 | 7,483,000 | 7,289,000 |
| Receivables turnover | 9.64 | 10.59 | 10.28 | 10.57 | 8.29 | 9.77 | 9.60 | 10.60 | 8.64 | 10.51 | 10.35 | 10.49 | 8.39 | 9.28 | 8.95 | 9.17 | 7.57 | 9.83 | 10.03 | 10.05 |
December 31, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $163,810,000K ÷ $16,994,000K
= 9.64
The receivables turnover ratio for Meta Platforms Inc. has shown fluctuations over the past few years. The ratio indicates how efficiently the company is collecting its accounts receivable during a specific period. A higher turnover ratio generally suggests that the company is collecting its outstanding invoices more quickly.
Looking at the data provided, Meta Platforms Inc.'s receivables turnover ratio ranged from a low of 7.57 on December 31, 2020, to a high of 10.60 on March 31, 2023, indicating variability in the company's collection efficiency. However, the trend seems to show some consistency in recent quarters, with figures consistently above 9.00, which is a positive sign.
Overall, a receivables turnover ratio above 9.00 in the most recent periods, such as March 31, 2024, June 30, 2024, and September 30, 2024, indicates that Meta Platforms Inc. is efficiently managing its accounts receivable and collecting payments from customers in a timely manner. It suggests that the company has effective credit and collection policies in place, which is crucial for maintaining liquidity and cash flow.
Peer comparison
Dec 31, 2024