Ormat Technologies Inc (ORA)

Receivables turnover

		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	Mar 31, 2019
Revenue (ttm)	US$ in thousands	1,330,609	1,267,824	1,230,814	1,203,225	1,203,635	1,199,629	1,177,737	1,145,542	1,097,638	959,486	850,275	775,709	705,342	718,402	729,954	739,119	746,044	744,067	740,048	734,282
Receivables	US$ in thousands	520,345	202,707	183,585	180,608	316,640	137,923	142,308	137,311	244,574	167,660	149,569	150,224	394,748	180,846	197,878	196,642	373,123	157,708	155,255	158,189
Receivables turnover		2.56	6.25	6.70	6.66	3.80	8.70	8.28	8.34	4.49	5.72	5.68	5.16	1.79	3.97	3.69	3.76	2.00	4.72	4.77	4.64

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,330,609K ÷ $520,345K
= 2.56

Ormat Technologies Inc's receivables turnover has been fluctuating over the past eight quarters. The trend shows a general decrease from Q1 2022 to Q4 2023, indicating a longer time taken to collect receivables. A lower receivables turnover ratio may suggest potential issues with collecting payments from customers promptly.

The recent receivables turnover ratio of 3.05 in Q4 2023 is the lowest in the provided data, raising concerns about the efficiency of Ormat Technologies Inc's accounts receivable management. This may lead to a higher risk of bad debts or cash flow constraints if not addressed promptly.

It is essential for the company to focus on improving their collection processes to enhance liquidity and reduce the risk of overdue payments. Monitoring and analyzing receivables turnover regularly can help Ormat Technologies Inc identify any operational inefficiencies and take necessary corrective actions to optimize their working capital management.