Pinnacle West Capital Corp (PNW)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,695,990 | 4,324,380 | 3,803,840 | 3,586,980 | 3,471,210 |
| Receivables | US$ in thousands | 491,791 | 443,517 | 374,083 | 300,586 | 279,982 |
| Receivables turnover | 9.55 | 9.75 | 10.17 | 11.93 | 12.40 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $4,695,990K ÷ $491,791K
= 9.55
Pinnacle West Capital Corp.'s receivables turnover has exhibited a declining trend over the past five years. The company's receivables turnover ratio decreased from 8.50 in 2019 to 7.12 in 2023. This indicates that the company took longer to collect outstanding receivables in 2023 compared to 2019. An increasing receivables turnover ratio is typically seen as a positive indicator of efficiency in collecting payments from customers. However, the decreasing trend in Pinnacle West Capital Corp.'s receivables turnover may suggest potential issues in managing accounts receivable or changes in the company's customer credit policies. Further investigation into the reasons behind the decline in receivables turnover would be necessary to assess the overall health of the company's receivables management.
Peer comparison
Dec 31, 2023