Old Dominion Freight Line Inc (ODFL)

Receivables turnover

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	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
Revenue (ttm)	US$ in thousands	5,815,630	5,938,920	5,983,990	5,898,480	5,885,610	5,867,450	5,955,860	6,210,120	6,262,120	6,180,360	5,976,720	5,628,680	5,256,110	4,918,280	4,576,400	4,153,200	4,014,576	3,950,876	3,941,166	4,105,626
Receivables	US$ in thousands	527,691	576,681	604,338	603,529	615,323	663,727	568,746	579,879	605,129	653,794	701,367	681,389	599,102	654,049	600,056	505,678	454,222	462,924	395,785	427,613
Receivables turnover		11.02	10.30	9.90	9.77	9.57	8.84	10.47	10.71	10.35	9.45	8.52	8.26	8.77	7.52	7.63	8.21	8.84	8.53	9.96	9.60

December 31, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $5,815,630K ÷ $527,691K
= 11.02

The receivables turnover ratio for Old Dominion Freight Line Inc has fluctuated over the past few years. The ratio indicates how efficiently the company is collecting payments from its customers. A higher ratio implies that the company is collecting receivables quickly.

From March 31, 2020, to December 31, 2024, the receivables turnover ratio ranged from 7.52 to 11.02 times. The trend shows some variability with occasional peaks and troughs. Overall, the ratio has generally been at a moderate to high level, suggesting that Old Dominion Freight Line Inc has been effective in managing its accounts receivable and converting them into cash.

The consistency in maintaining a receivables turnover ratio above 7 times indicates that the company has a relatively efficient credit and collection process. However, there appears to be a slight upward trend in recent quarters, indicating improved efficiency in collecting payments from customers.

It can be concluded that Old Dominion Freight Line Inc has been successful in managing its receivables efficiently, ensuring a steady flow of cash and liquidity within the business.