RPM International Inc (RPM)
Receivables turnover
| May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 7,210,630 | 7,128,530 | 6,615,470 | 6,018,050 | 5,406,290 |
| Receivables | US$ in thousands | 1,419,440 | 1,503,040 | 1,432,630 | 1,280,810 | 1,137,960 |
| Receivables turnover | 5.08 | 4.74 | 4.62 | 4.70 | 4.75 |
May 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $7,210,630K ÷ $1,419,440K
= 5.08
The receivables turnover for RPM International Inc has been relatively stable over the past five years, ranging from 4.62 to 5.08. This ratio indicates the efficiency with which the company collects payment from its customers. A higher receivables turnover ratio suggests that the company is more efficient in collecting its accounts receivable.
In this case, the company's receivables turnover has shown a slight improvement over the years, reaching its highest level of 5.08 in 2024. This implies that RPM International Inc has been able to collect its accounts receivable more quickly in the most recent year compared to the previous four years.
Overall, the consistent and slightly improving trend in receivables turnover suggests that RPM International Inc has been effective in managing its accounts receivable and collecting payments from customers efficiently.
Peer comparison
May 31, 2024