Revvity Inc. (RVTY)

Receivables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	2,750,570	3,311,820	3,827,810	3,782,740	2,883,670
Receivables	US$ in thousands	632,811	612,780	1,023,790	1,155,110	725,184
Receivables turnover		4.35	5.40	3.74	3.27	3.98

December 31, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $2,750,570K ÷ $632,811K
= 4.35

The analysis of Revvity Inc.'s receivables turnover reveals fluctuations over the past five years. The receivables turnover ratio indicates how efficiently the company collects outstanding receivables during a specific period.

In 2023, the receivables turnover ratio decreased to 4.35 from 5.40 in 2022. This implies that during 2023, Revvity Inc. collected its accounts receivables less frequently compared to the previous year. A lower turnover may indicate a longer collection period or potential issues with customer creditworthiness.

Comparing this to the ratios in 2021 and 2020, the turnover ratio was 4.95 and 3.98, respectively, showing varying levels of efficiency in collecting receivables during those years. In 2021, the company improved its collection efficiency compared to 2020, as evidenced by the increase in the ratio.

Furthermore, in 2019, the receivables turnover ratio was 3.27, indicating that the efficiency of receivables collection was lower that year compared to the subsequent years, suggesting a longer collection period or potential difficulties in recovering outstanding receivables.

Overall, the trend in Revvity Inc.'s receivables turnover ratio fluctuated over the past five years, suggesting variability in the company's ability to efficiently collect outstanding receivables. Further analysis and comparison with industry averages may provide more insights into the effectiveness of the company's credit and collection policies.