Nextera Energy Inc (NEE)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 24,708,000 | 23,278,000 | 19,042,000 | 16,976,000 | 17,604,000 |
| Receivables | US$ in thousands | 4,553,000 | 5,187,000 | 4,221,000 | 3,042,000 | 2,807,000 |
| Receivables turnover | 5.43 | 4.49 | 4.51 | 5.58 | 6.27 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $24,708,000K ÷ $4,553,000K
= 5.43
NextEra Energy Inc's receivables turnover has fluctuated over the past five years. The ratio indicates how efficiently the company collects cash from its credit sales. A higher turnover ratio suggests that the company is collecting its receivables more quickly.
In 2023, the receivables turnover ratio increased to 6.17 from 4.11 in 2022, reflecting an improvement in the efficiency of collecting receivables compared to the previous year. This may indicate that NextEra Energy Inc has been more effective in managing its accounts receivables in the most recent year.
In 2021, the ratio was 4.16, which was slightly lower than in 2020 (6.05) and significantly lower than in 2019 (6.84). This downward trend in 2021 could indicate a potential issue with collecting receivables efficiently compared to the previous years.
Overall, NextEra Energy Inc's receivables turnover has shown some variability over the past five years. It would be important to further investigate the underlying reasons behind these fluctuations to assess the company's performance in managing its accounts receivables effectively.
Peer comparison
Dec 31, 2023