Rockwell Automation Inc (ROK)
Receivables turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 8,264,600 | 9,203,900 | 7,500,200 | 6,930,300 | 6,216,700 |
| Receivables | US$ in thousands | 1,802,000 | 2,167,400 | 1,736,700 | 1,424,500 | 1,249,100 |
| Receivables turnover | 4.59 | 4.25 | 4.32 | 4.87 | 4.98 |
September 30, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $8,264,600K ÷ $1,802,000K
= 4.59
The receivables turnover for Rockwell Automation Inc has been relatively stable over the past five years, ranging from 4.25 to 4.98. It is a measure of how efficiently the company is able to collect outstanding receivables from its customers during a specific period.
A higher receivables turnover ratio indicates that the company is able to efficiently collect payments from customers, which is generally considered favorable as it reflects a shorter time for receivables to be converted into cash. Conversely, a lower ratio may suggest that the company is taking longer to collect payments, which could potentially lead to cash flow issues.
In the most recent year, the receivables turnover ratio was 4.59, which indicates that Rockwell Automation Inc was able to convert its receivables into cash approximately 4.59 times during the year. This suggests that the company manages its accounts receivable effectively, ensuring a timely collection of outstanding payments from customers.
Overall, the stability of Rockwell Automation Inc's receivables turnover ratio over the years indicates a consistent performance in managing its accounts receivable and highlights the company's efficiency in collecting payments from customers.
Peer comparison
Sep 30, 2024