Smart Global Holdings Inc (SGH)
Receivables turnover
| Mar 1, 2024 | Dec 1, 2023 | Aug 25, 2023 | May 26, 2023 | Feb 24, 2023 | Nov 25, 2022 | Aug 26, 2022 | May 27, 2022 | Feb 25, 2022 | Nov 26, 2021 | Aug 27, 2021 | May 28, 2021 | Feb 26, 2021 | Nov 27, 2020 | May 29, 2020 | Feb 28, 2020 | Nov 29, 2019 | Aug 30, 2019 | May 31, 2019 | Mar 1, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,233,638 | 1,360,769 | 1,552,734 | 1,598,535 | 1,700,746 | 1,758,024 | 1,764,196 | 1,888,093 | 1,862,989 | 1,718,489 | 1,559,283 | 1,371,659 | 1,193,744 | 1,160,383 | 1,134,618 | 1,092,825 | 1,123,015 | 1,259,316 | 1,354,886 | 1,462,059 |
| Receivables | US$ in thousands | 169,718 | 170,590 | 219,247 | 243,571 | 229,474 | 306,323 | 410,323 | 371,514 | 399,982 | 344,107 | 327,450 | 278,260 | 206,607 | 215,377 | 227,587 | 220,507 | 240,648 | 229,238 | 238,091 | — |
| Receivables turnover | 7.27 | 7.98 | 7.08 | 6.56 | 7.41 | 5.74 | 4.30 | 5.08 | 4.66 | 4.99 | 4.76 | 4.93 | 5.78 | 5.39 | 4.99 | 4.96 | 4.67 | 5.49 | 5.69 | — |
March 1, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,233,638K ÷ $169,718K
= 7.27
The receivables turnover for Smart Global Holdings Inc has shown some fluctuations over the past few periods. The metric indicates how efficiently the company is collecting its accounts receivable during a specific period. A higher receivables turnover ratio is generally preferred as it signifies that the company is collecting its outstanding receivables more quickly.
Looking at the data provided, we can observe that the receivables turnover ratio has ranged from a low of 4.30 to a high of 7.98. The average turnover ratio over these periods appears to be around 5.48, indicating that, on average, the company is collecting its accounts receivable approximately 5.48 times during a given period.
It is worth noting that the trend seems to be positive, with some periods showing improvements in the turnover ratio. The company managed to achieve its highest turnover ratio of 7.98 in December 1, 2023, which suggests a more efficient collection of receivables during that period.
Overall, the receivables turnover of Smart Global Holdings Inc reflects a satisfactory level of efficiency in collecting outstanding receivables, with a noticeable improvement in certain periods. Monitoring this ratio consistently can help assess the company's effectiveness in managing its accounts receivable and cash flow.
Peer comparison
Mar 1, 2024