Simply Good Foods Co (SMPL)

Receivables turnover

		Aug 31, 2024	May 25, 2024	Feb 24, 2024	Nov 25, 2023	Aug 26, 2023	May 27, 2023	Feb 25, 2023	Nov 26, 2022	Aug 27, 2022	May 28, 2022	Feb 26, 2022	Nov 27, 2021	Aug 28, 2021	May 29, 2021	Feb 27, 2021	Nov 28, 2020	Aug 29, 2020	May 30, 2020	Feb 29, 2020	Nov 30, 2019
Revenue (ttm)	US$ in thousands	1,331,588	1,252,300	1,239,906	1,221,199	1,212,260	1,167,626	1,162,029	1,166,378	1,146,988	1,130,420	1,094,438	1,025,803	974,051	944,406	883,763	887,277	816,641	733,539	657,906	554,605
Receivables	US$ in thousands	150,721	146,281	147,513	135,561	145,078	145,430	148,250	158,883	132,667	146,377	118,212	125,195	111,456	118,373	97,329	97,887	89,740	64,440	89,966	69,593
Receivables turnover		8.83	8.56	8.41	9.01	8.36	8.03	7.84	7.34	8.65	7.72	9.26	8.19	8.74	7.98	9.08	9.06	9.10	11.38	7.31	7.97

August 31, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,331,588K ÷ $150,721K
= 8.83

The receivables turnover ratio for Simply Good Foods Co has shown fluctuations over the past several periods, ranging from 7.31 to 11.38. This ratio indicates how efficiently the company is able to collect payments from its customers during a specific period.

On average, the receivables turnover has been relatively stable, with a mean value of approximately 8.45. A higher turnover ratio suggests that the company is collecting its accounts receivables more quickly, reflecting efficient credit policies and effective collections efforts.

The highest receivables turnover ratio of 11.38 occurred in November 2020, signaling a strong ability to convert credit sales into cash. Conversely, the lowest turnover ratio of 7.31 was noted in August 2022, indicating a relatively slower collection of receivables during that period.

Overall, Simply Good Foods Co has maintained a healthy receivables turnover ratio, demonstrating its ability to effectively manage and collect outstanding customer receivables.