TE Connectivity Ltd (TEL)
Receivables turnover
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 15,808,000 | 15,756,000 | 15,755,000 | 15,947,000 | 15,954,000 | 16,279,000 | 16,380,000 | 16,229,000 | 16,215,000 | 15,678,000 | 15,430,000 | 15,166,000 | 14,867,000 | 14,324,000 | 13,028,000 | 12,487,000 | 12,136,000 | 12,175,000 | 13,016,000 | 13,229,000 |
| Receivables | US$ in thousands | 3,055,000 | 2,889,000 | 2,874,000 | 2,828,000 | 2,967,000 | 2,998,000 | 3,048,000 | 2,910,000 | 2,865,000 | 3,132,000 | 3,068,000 | 2,844,000 | 2,928,000 | 2,985,000 | 2,921,000 | 2,640,000 | 2,377,000 | 2,146,000 | 2,461,000 | 2,338,000 |
| Receivables turnover | 5.17 | 5.45 | 5.48 | 5.64 | 5.38 | 5.43 | 5.37 | 5.58 | 5.66 | 5.01 | 5.03 | 5.33 | 5.08 | 4.80 | 4.46 | 4.73 | 5.11 | 5.67 | 5.29 | 5.66 |
September 30, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $15,808,000K ÷ $3,055,000K
= 5.17
The receivables turnover ratio of TE Connectivity Ltd has shown fluctuations over the past several quarters. The ratio indicates the company's efficiency in collecting outstanding receivables from customers during a specific period.
From Dec 2019 to Sep 2020, the receivables turnover ratio ranged between 4.46 and 5.67, with a general upward trend. This implies that TE Connectivity Ltd was improving its ability to collect receivables efficiently during this period.
However, from Mar 2021 to Mar 2023, there was a slight decline in the ratio, fluctuating between 4.80 and 5.48. This indicates a temporary decrease in the efficiency of the company in collecting outstanding receivables.
From Jun 2023 to Sep 2024, the receivables turnover ratio mostly remained above 5, suggesting an improvement in collection efficiency compared to the previous period. The ratio ranged between 5.17 and 5.66 during this time.
Overall, TE Connectivity Ltd has shown a relatively stable receivables turnover performance, with periodic fluctuations in the ratio. It is essential for the company to actively manage its accounts receivable to ensure timely collection and optimize cash flow.
Peer comparison
Sep 30, 2024