Sturm Ruger & Company Inc (RGR)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 543,767 | 595,842 | 730,736 | 568,868 | 410,506 |
| Receivables | US$ in thousands | 59,864 | 65,449 | 57,036 | 57,876 | 52,640 |
| Receivables turnover | 9.08 | 9.10 | 12.81 | 9.83 | 7.80 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $543,767K ÷ $59,864K
= 9.08
Sturm, Ruger & Co., Inc.'s receivables turnover has shown fluctuations over the past five years. The receivables turnover ratio measures how efficiently a company is collecting payments from its customers. A higher turnover ratio generally indicates that the company is collecting payments more quickly.
In 2021, the company experienced a significant increase in receivables turnover, reaching 12.81, which suggests that Sturm, Ruger & Co., Inc. was efficiently collecting payments from its customers during that period. However, in 2022 and 2023, the ratio slightly decreased to 9.10 and 9.08, respectively, indicating a slowdown in the collection of receivables compared to the previous year.
Overall, the company's receivables turnover has remained relatively consistent over the past five years, with fluctuations within a moderate range. Management should continue monitoring this ratio to ensure that the collection process remains efficient and effective to maintain healthy cash flows.
Peer comparison
Dec 31, 2023