OSI Systems Inc (OSIS)

Receivables turnover

		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	Dec 31, 2019	Sep 30, 2019
Revenue (ttm)	US$ in thousands	1,538,758	1,464,019	1,361,502	1,283,864	1,272,725	1,200,950	1,188,538	1,169,622	1,180,808	1,174,471	1,167,781	1,167,109	1,142,760	1,087,192	1,096,288	1,125,621	1,161,565	1,175,951	1,187,352	1,185,215
Receivables	US$ in thousands	648,155	503,828	370,168	323,769	380,845	300,663	322,756	313,506	308,094	282,872	288,037	292,004	296,659	258,594	263,071	253,149	281,368	257,505	257,385	245,093
Receivables turnover		2.37	2.91	3.68	3.97	3.34	3.99	3.68	3.73	3.83	4.15	4.05	4.00	3.85	4.20	4.17	4.45	4.13	4.57	4.61	4.84

June 30, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,538,758K ÷ $648,155K
= 2.37

The receivables turnover ratio for OSI Systems Inc has shown some fluctuations over the past few quarters. The ratio fluctuated between 2.37 and 4.84 over the last 20 quarters.

The average receivables turnover for the most recent quarters has been around 3.80, indicating that the company collected its accounts receivable approximately 3.80 times during the period. This suggests that OSI Systems Inc has been efficient in converting its credit sales into cash.

A decreasing trend in receivables turnover ratio could signal potential issues with the company's credit policies or difficulties in collecting receivables promptly. Conversely, an increasing trend could indicate improvements in credit management or a growing customer base.

It would be important for OSI Systems Inc to analyze the reasons behind the fluctuations in the receivables turnover ratio and implement strategies to maintain a healthy balance between credit sales and collections.