Quanta Services Inc (PWR)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 20,695,300 | 16,964,300 | 12,920,400 | 11,160,700 | 12,051,100 |
| Receivables | US$ in thousands | 4,410,830 | 3,674,520 | 3,400,320 | 2,716,080 | 2,747,910 |
| Receivables turnover | 4.69 | 4.62 | 3.80 | 4.11 | 4.39 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $20,695,300K ÷ $4,410,830K
= 4.69
Quanta Services, Inc. has exhibited a stable trend in its receivables turnover ratio over the past five years. The company's receivables turnover ratio has ranged between 3.82 and 4.73 during this period, reflecting the efficiency with which the company is able to collect outstanding receivables from its customers.
A higher receivables turnover ratio signifies that Quanta Services, Inc. is collecting its accounts receivable more frequently or more rapidly. The slight increase in the ratio from 2022 to 2023 indicates a slight improvement in the efficiency of the company's receivables management. This could be a positive indicator of effective credit policies, prompt invoicing, and efficient collection practices.
Overall, the receivables turnover ratio suggests that Quanta Services, Inc. has been effective in managing its accounts receivable and collecting outstanding payments from customers in a timely manner over the years analyzed.
Peer comparison
Dec 31, 2023