Simpson Manufacturing Company Inc (SSD)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,207,600 | 2,106,880 | 1,564,670 | 1,265,190 | 1,139,370 |
| Receivables | US$ in thousands | 283,975 | 269,124 | 231,021 | 165,128 | 139,364 |
| Receivables turnover | 7.77 | 7.83 | 6.77 | 7.66 | 8.18 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $2,207,600K ÷ $283,975K
= 7.77
Simpson Manufacturing Co., Inc.'s receivables turnover ratio has fluctuated over the past five years. The company's ability to collect outstanding receivables improved in 2023 compared to the previous year, with a ratio of 7.80, indicating that the company collected its outstanding receivables approximately 7.80 times during the year.
Although the ratio decreased in 2021 to 6.81, it rebounded in 2022 and continued to improve in 2023. This suggests that the company's management of accounts receivable became more efficient. A higher turnover ratio typically indicates better credit control and collection efforts by the company.
Overall, Simpson Manufacturing Co., Inc. has maintained a relatively stable receivables turnover ratio over the past five years, showing a consistent ability to collect outstanding receivables in a timely manner. This ratio is a key indicator of the company's liquidity and operational efficiency.
Peer comparison
Dec 31, 2023