Perficient Inc (PRFT)

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	906,505	918,304	922,718	914,351	905,062	887,193	852,099	813,497	760,727	708,551	669,372	631,575	607,796	590,401	581,744	577,274	565,527	552,070	531,319	511,248
Receivables	US$ in thousands	179,000	185,100	186,100	183,500	202,300	192,903	196,620	186,368	177,602	165,041	149,718	138,836	133,085	137,043	127,907	126,728	129,118	126,304	122,797	115,089
Receivables turnover		5.06	4.96	4.96	4.98	4.47	4.60	4.33	4.37	4.28	4.29	4.47	4.55	4.57	4.31	4.55	4.56	4.38	4.37	4.33	4.44

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $906,505K ÷ $179,000K
= 5.06

Perficient Inc.'s receivables turnover has been relatively stable over the past eight quarters, ranging from 4.29 to 5.06. The average receivables turnover for this period is 4.69. This indicates that, on average, the company is collecting its accounts receivables approximately 4.69 times per year.

A higher receivables turnover ratio typically indicates that the company is efficient in collecting payment from its customers and managing its accounts receivables. Perficient Inc.'s average turnover ratio of 4.69 is within a reasonable range and suggests that the company has a satisfactory level of efficiency in collecting payments from its customers.

It is important to note that while a high receivables turnover ratio generally reflects efficient management, an exceptionally high ratio could indicate overly aggressive credit policies that may lead to potential liquidity challenges. Conversely, a low turnover ratio may suggest potential issues with collection efforts, credit policies, or an inefficient use of resources.

Overall, based on the trend and average, Perficient Inc.'s receivables turnover appears to be in line with industry norms and reflects a reasonable level of efficiency in managing its accounts receivables.