NetScout Systems Inc (NTCT)

Receivables turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Revenue (ttm)	US$ in thousands	829,455	834,105	885,577	916,856	914,530	897,628	890,278	874,115	855,575	877,773	844,318	837,739	831,282	847,244	878,529	889,611	891,820	897,471	883,455	890,831
Receivables	US$ in thousands	192,096	221,574	152,603	108,292	143,855	215,838	139,126	112,889	148,245	233,854	162,888	146,199	197,717	208,016	169,687	138,793	213,514	244,877	202,288	160,039
Receivables turnover		4.32	3.76	5.80	8.47	6.36	4.16	6.40	7.74	5.77	3.75	5.18	5.73	4.20	4.07	5.18	6.41	4.18	3.66	4.37	5.57

March 31, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $829,455K ÷ $192,096K
= 4.32

The receivables turnover ratio of NetScout Systems Inc has fluctuated over the past few quarters. The ratio indicates how efficiently the company is able to collect payments from its customers during a specific period. A higher ratio is generally favorable as it suggests that the company is collecting payments more quickly.

In the most recent quarter, ending March 31, 2024, the receivables turnover was 4.32. This means that NetScout Systems Inc collected its accounts receivable approximately 4.32 times during the quarter. Compared to the previous quarter, the ratio has increased from 3.76 to 4.32, which indicates an improvement in the efficiency of receivables collection.

Looking at the trend over the past few quarters, the receivables turnover has shown some variability, with fluctuations between 3.66 and 8.47. It is essential for the company to monitor and manage its accounts receivable turnover consistently to ensure optimal cash flow and financial health. Overall, the recent increase in the receivables turnover ratio is a positive sign for NetScout Systems Inc's liquidity and operational efficiency.