Pitney Bowes Inc (PBI)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,266,350 | 3,538,040 | 3,673,560 | 3,554,080 | 3,205,120 |
| Receivables | US$ in thousands | 906,336 | 917,319 | 909,204 | 980,509 | 1,099,680 |
| Receivables turnover | 3.60 | 3.86 | 4.04 | 3.62 | 2.91 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $3,266,350K ÷ $906,336K
= 3.60
The receivables turnover ratio of Pitney Bowes, Inc. has been fluctuating over the past five years. The ratio indicates how efficiently the company is collecting its accounts receivable during a given period. A higher receivables turnover implies that the company is collecting its receivables more quickly.
In 2023, the receivables turnover ratio was 3.61, a decrease from the previous year's ratio of 3.89. This decline may suggest that the company took longer to collect its receivables compared to the prior year. However, the ratio is still higher than in 2019, indicating that the collection efficiency has improved over the long term.
It is important to note that receivables turnover ratios can be influenced by various factors such as the industry norms, credit policies, and economic conditions. Analysts and investors should consider these factors along with the trend in the ratio over multiple years to get a comprehensive view of the company's receivables management efficiency.