NewJersey Resources Corporation (NJR)

Receivables turnover

		Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019
Revenue	US$ in thousands	2,674,370	4,515,980	3,389,420	2,991,430	2,543,480
Receivables	US$ in thousands	105,604	216,687	198,537	136,157	139,625
Receivables turnover		25.32	20.84	17.07	21.97	18.22

September 30, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $2,674,370K ÷ $105,604K
= 25.32

The receivables turnover of New Jersey Resources Corporation has shown fluctuations over the past five years. In 2023, the receivables turnover increased to 18.59 from 13.41 in 2022, indicating that the company collected its accounts receivable more frequently during the year. This suggests an improvement in the efficiency of the company's receivables management. However, the 2023 turnover is substantially higher than the 2021 and 2022 turnovers, which could indicate a more aggressive collection strategy or tighter credit policy.

The 2023 turnover is also higher than the 2019 turnover, indicating that the company collected its receivables more frequently compared to five years earlier. This could suggest improved efficiency in managing receivables over the long term. The receivables turnover measures the efficiency of a company in collecting outstanding receivables, and the increase over the years indicates an improvement in this aspect of New Jersey Resources Corporation's operations.