Select Medical Holdings (SEM)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 6,457,510 | 6,549,040 | 6,411,890 | 5,748,680 | 5,539,610 |
| Receivables | US$ in thousands | 940,335 | 941,312 | 889,303 | 896,763 | 762,677 |
| Receivables turnover | 6.87 | 6.96 | 7.21 | 6.41 | 7.26 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $6,457,510K ÷ $940,335K
= 6.87
The receivables turnover for Select Medical Holdings Corporation has shown a fluctuating trend over the past five years, ranging from 6.17 to 7.15. The highest receivables turnover was recorded in 2019 at 7.15, indicating that the company was able to collect its accounts receivables approximately 7.15 times during that year. Conversely, the lowest turnover was in 2020 at 6.17.
Overall, the average receivables turnover for the period was 6.82, suggesting that, on average, Select Medical Holdings Corporation was able to convert its accounts receivables into cash approximately 6.82 times each year. This indicates that the company has been relatively efficient in collecting outstanding payments from its customers.
It is important to note that receivables turnover can be influenced by various factors, including the company's credit policies, industry norms, and economic conditions. Therefore, further analysis and comparison with industry benchmarks may provide additional insights into the company's receivables management efficiency.
Peer comparison
Dec 31, 2023