PriceSmart Inc (PSMT)

Receivables turnover

		Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	May 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019	May 31, 2019
Revenue (ttm)	US$ in thousands	4,645,640	4,498,230	4,392,180	4,301,670	4,240,670	4,145,550	4,066,096	3,954,332	3,818,786	3,717,795	3,619,871	3,520,846	3,425,513	3,394,679	3,329,188	3,319,907	3,308,532	3,256,222	3,223,918	3,200,484
Receivables	US$ in thousands	19,819	17,645	17,904	15,031	16,401	18,757	13,391	14,569	15,001	15,572	12,359	12,221	11,874	15,150	13,153	10,886	10,905	10,293	9,872	9,543
Receivables turnover		234.40	254.93	245.32	286.19	258.56	221.01	303.64	271.42	254.57	238.75	292.89	288.10	288.49	224.07	253.11	304.97	303.40	316.35	326.57	335.38

February 29, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $4,645,640K ÷ $19,819K
= 234.40

The receivables turnover ratio for PriceSmart Inc has fluctuated over the past several periods, ranging from 221.01 to 335.38. A higher turnover ratio indicates that the company is collecting its accounts receivable more efficiently, while a lower ratio suggests that there may be issues with collection.

The company's receivables turnover was highest on May 31, 2019, at 335.38, which implies that the company was very effective in collecting its outstanding receivables during that period. On the other hand, the lowest turnover ratio was recorded on Aug 31, 2022, at 221.01, signaling potential challenges in receivables management at that time.

Overall, the trend in the receivables turnover ratio for PriceSmart Inc seems somewhat volatile, with fluctuations observed across the various reporting periods. It would be beneficial for stakeholders to monitor this ratio closely to ensure that the company's receivables management remains effective and efficient.