Roper Technologies, Inc. (ROP)

Receivables turnover

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Revenue (ttm)	US$ in thousands	7,039,200	6,775,600	6,574,400	6,388,800	6,177,800	5,995,200	5,782,100	5,561,700	5,371,800	5,197,500	5,079,300	4,958,300	4,934,900	4,624,600	4,590,700	4,634,700	4,659,700	4,756,100	4,912,400	5,008,900
Receivables	US$ in thousands	1,012,400	951,500	863,700	881,700	936,300	858,500	792,500	730,000	816,000	729,100	733,900	865,300	934,700	851,900	1,079,500	1,060,000	1,104,700	1,023,300	963,900	937,500
Receivables turnover		6.95	7.12	7.61	7.25	6.60	6.98	7.30	7.62	6.58	7.13	6.92	5.73	5.28	5.43	4.25	4.37	4.22	4.65	5.10	5.34

December 31, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $7,039,200K ÷ $1,012,400K
= 6.95

The receivables turnover ratio of Roper Technologies, Inc. has shown a generally increasing trend from March 31, 2020, to December 31, 2024. The ratio started at 5.34 on March 31, 2020, and reached its highest point of 7.62 on March 31, 2023, before declining slightly to 6.95 on December 31, 2024.

A higher receivables turnover ratio indicates that the company is collecting its accounts receivable more efficiently, as it represents how many times a company's receivables are collected and replaced over a period. The steady increase in the ratio over the years suggests that Roper Technologies has been managing its accounts receivable effectively and improving its collection process. This can lead to better cash flow management and potentially reflects positively on the company's credit policies and customer base.

Overall, the improving trend in Roper Technologies' receivables turnover ratio indicates a positive trend in the company's efficiency in collecting outstanding receivables, which is a favorable signal for its financial health and operational performance.