Pool Corporation (POOL)
Receivables turnover
| 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 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 5,541,590 | 5,634,460 | 5,775,390 | 5,973,850 | 6,179,730 | 6,119,370 | 5,915,480 | 5,647,490 | 5,295,580 | 5,099,281 | 4,827,061 | 4,320,081 | 3,936,629 | 3,679,602 | 3,438,872 | 3,279,352 | 3,199,520 | 3,160,368 | 3,073,179 | 3,009,649 |
| Receivables | US$ in thousands | 145,723 | 140,997 | 203,459 | 163,048 | 128,247 | 189,173 | 239,639 | 195,951 | 155,259 | 174,987 | 210,318 | 122,938 | 122,252 | 135,555 | 144,842 | 66,328 | 76,648 | 95,971 | 127,260 | 72,352 |
| Receivables turnover | 38.03 | 39.96 | 28.39 | 36.64 | 48.19 | 32.35 | 24.68 | 28.82 | 34.11 | 29.14 | 22.95 | 35.14 | 32.20 | 27.14 | 23.74 | 49.44 | 41.74 | 32.93 | 24.15 | 41.60 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $5,541,590K ÷ $145,723K
= 38.03
Pool Corporation's receivables turnover ratio measures how efficiently the company is managing its accounts receivable by converting them into cash. A higher turnover ratio indicates that the company is collecting its outstanding receivables more quickly.
Based on the data provided, Pool Corporation's receivables turnover ratio has fluctuated over the past eight quarters. In Q4 2023, the receivables turnover ratio was 16.16, indicating a significant improvement compared to the previous quarters. This suggests that Pool Corporation was able to collect its receivables at a much faster rate during this period.
In contrast, there was a noticeable decline in receivables turnover in Q2 2022, where the ratio was at its lowest at 7.82. This may raise concerns about the company's ability to efficiently collect outstanding balances from its customers during that quarter.
Overall, the trend in Pool Corporation's receivables turnover shows some variability, with periods of both improvement and decline. It is essential for the company to consistently monitor and manage its accounts receivable to ensure a healthy cash flow and optimal financial performance.