Enpro Industries (NPO)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,013,100 | 1,067,900 | 1,259,100 | 1,052,000 | 1,171,800 |
| Receivables | US$ in thousands | -2,000 | -2,900 | 5,600 | 45,500 | 25,000 |
| Receivables turnover | — | — | 224.84 | 23.12 | 46.87 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $1,013,100K ÷ $-2,000K
= —
The receivables turnover for Enpro Inc has shown a generally positive trend over the past five years. In 2023, the receivables turnover ratio stood at 9.08, indicating that the company collected its accounts receivable approximately 9 times during the year. This represents an improvement compared to the previous years, with ratios of 8.02 in 2022, 6.45 in 2021, and 7.50 in both 2020 and 2019.
A higher receivables turnover ratio generally signifies that the company is effective in collecting outstanding receivables from its customers in a timely manner. It suggests that Enpro Inc has been efficient in managing its credit policies and collecting debts promptly. This improvement in receivables turnover is a positive indicator of the company's liquidity and operational efficiency. Investors and creditors typically view a higher receivables turnover ratio favorably, as it indicates effective management of accounts receivable.