National Fuel Gas Company (NFG)

Receivables turnover

		Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019
Revenue	US$ in thousands	2,173,770	2,186,050	1,742,660	1,546,290	1,693,330
Receivables	US$ in thousands	-19,673	-10,153	-14,639	-5,508	139,956
Receivables turnover		—	—	—	—	12.10

September 30, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $2,173,770K ÷ $-19,673K
= —

The receivables turnover ratio measures the efficiency of National Fuel Gas Co. in collecting payments from its customers. A higher turnover ratio indicates that the company is collecting its receivables more quickly.

In the given data, the receivables turnover for National Fuel Gas Co. has fluctuated over the last five years. In 2023, the receivables turnover ratio increased significantly to 11.24, indicating a remarkable improvement in the company's ability to collect payments from its customers compared to the previous year. This may suggest that the company has implemented more efficient credit and collection policies or has improved its customer base.

In 2022, the receivables turnover ratio was 5.50, which was lower than the preceding year. This decrease might raise concerns about the company's ability to efficiently collect receivables, possibly due to changes in customer payment behavior or difficulties in collecting outstanding balances.

In 2021, the receivables turnover ratio was 7.79, showing a moderate improvement from the prior year. This suggests that the company managed to collect receivables more effectively than in 2020.

In 2020, the receivables turnover ratio was 10.49, representing a substantial increase compared to 2019. This improvement indicates that the company's efforts to collect receivables were successful, reflecting positively on its liquidity and cash flow.

In 2019, the receivables turnover ratio stood at 8.87, indicating efficient receivables management and collection processes.

Overall, the analysis of National Fuel Gas Co.'s receivables turnover reveals fluctuations in the efficiency of its receivables collection over the years, with notable improvements in some years and slight declines in others. These changes may warrant further investigation into the company's credit and collection policies, customer payment behaviors, and overall accounts receivable management.