Paycom Soft (PAYC)

Receivables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	1,690,500	1,374,390	1,054,600	839,422	735,275
Receivables	US$ in thousands	34,833	28,426	25,903	19,577	13,318
Receivables turnover		48.53	48.35	40.71	42.88	55.21

December 31, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $1,690,500K ÷ $34,833K
= 48.53

The receivables turnover of Paycom Software Inc has shown some fluctuation over the past five years. The trend indicates that the company's ability to efficiently collect its accounts receivable has remained relatively stable, with values ranging from 40.75 to 55.39.

The high values of receivables turnover suggest that Paycom Software Inc has been effective in converting its accounts receivable into cash. A higher receivables turnover ratio typically indicates that the company is collecting payments from its customers quickly, which is a positive sign of operational efficiency.

However, the slight fluctuations in the receivables turnover ratio from year to year could be further analyzed to determine any underlying factors affecting the company's collection process. It may be worth investigating the company's credit policies, customer payment behavior, or changes in sales volume that could be influencing the receivables turnover ratio.

Overall, based on the data provided, Paycom Software Inc appears to have maintained a healthy level of receivables turnover, indicating efficient management of its accounts receivable.