Palantir Technologies Inc. Class A Common Stock (PLTR)

Receivables turnover

		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
Revenue (ttm)	US$ in thousands	2,646,338	2,478,981	2,334,164	2,225,012	2,125,286	2,045,007	1,984,700	1,905,871	1,830,114	1,744,380	1,647,012	1,541,889	1,431,113	1,328,333
Receivables	US$ in thousands	668,110	659,339	487,000	364,784	430,300	375,756	254,000	258,346	343,300	265,826	256,554	190,923	174,405	242,998	151,400	156,932	162,269
Receivables turnover		3.96	3.76	4.79	6.10	4.94	5.44	7.81	7.38	5.33	6.56	6.42	8.08	8.21	5.47

September 30, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $2,646,338K ÷ $668,110K
= 3.96

The receivables turnover for Palantir Technologies Inc. Class A Common Stock has shown fluctuations over the past several quarters. The ratio has ranged from a low of 3.76 to a high of 8.21. A higher receivables turnover ratio indicates that the company is collecting its accounts receivable more efficiently.

In analyzing the trend of the receivables turnover ratio, we can observe that there was a significant increase in efficiency from the fourth quarter of 2020 to the first quarter of 2021, with the ratio jumping from 5.47 to 8.21. However, there have been fluctuations since then, with varying levels of efficiency in collecting receivables.

It is important to note that a lower receivables turnover ratio may indicate potential issues with collecting accounts receivable promptly, while a higher ratio suggests effective management of credit and collections. Continued monitoring of this ratio is essential to assess the company's ability to convert credit sales into cash.