AT&T Inc (T)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 122,428,000 | 120,741,000 | 134,038,000 | 143,050,000 | 181,193,000 |
| Receivables | US$ in thousands | 10,289,000 | 11,466,000 | 17,571,000 | 20,215,000 | 22,636,000 |
| Receivables turnover | 11.90 | 10.53 | 7.63 | 7.08 | 8.00 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $122,428,000K ÷ $10,289,000K
= 11.90
The receivables turnover ratio for AT&T, Inc. has shown a generally increasing trend over the past five years. The ratio increased from 8.00 in 2019 to 11.90 in 2023, indicating that the company's efficiency in collecting payments from customers has improved over this period.
A higher receivables turnover ratio suggests that AT&T is collecting payments from its customers more frequently within a given period, which is a positive indicator of the company's liquidity and ability to manage its accounts receivable effectively.
This improvement in receivables turnover may signify more efficient credit policies, better collection practices, or a shift towards customers who pay their invoices more promptly. Overall, a rising receivables turnover ratio is a positive trend as it indicates the company's ability to convert its accounts receivable into cash more rapidly, potentially improving its cash flow and overall financial health.
Peer comparison
Dec 31, 2023