Teleflex Incorporated (TFX)

Receivables turnover

		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	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	2,911,099	2,896,815	2,847,031	2,814,657	2,739,870	2,666,841	2,681,690	2,672,883	2,658,512	2,705,531	2,628,918	2,495,954	2,494,257	2,464,030	2,481,625	2,562,494	2,533,648	2,494,311	2,447,888	2,425,533
Receivables	US$ in thousands	443,467	425,194	429,309	—	408,834	391,251	415,297	407,159	383,569	399,744	414,195	401,112	395,071	390,476	374,886	441,714	418,673	396,663	382,142	375,756
Receivables turnover		6.56	6.81	6.63	—	6.70	6.82	6.46	6.56	6.93	6.77	6.35	6.22	6.31	6.31	6.62	5.80	6.05	6.29	6.41	6.46

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $2,911,099K ÷ $443,467K
= 6.56

Teleflex Incorporated's receivables turnover ratio for the past eight quarters has exhibited a stable trend, ranging from 6.71 to 7.14. This ratio measures how efficiently the company is able to collect payments from its customers. A higher turnover ratio indicates a shorter time period for collecting receivables, which is generally favorable as it implies quicker conversion of sales into cash.

The average receivables turnover for the eight quarters is 6.87, indicating that, on average, Teleflex collects its accounts receivable approximately 6.87 times a year. This consistent performance suggests effective credit management and timely collection practices, which can help improve cash flow and liquidity.

The slight fluctuations in the ratio over the quarters may be due to seasonal effects, changes in credit policies, or shifts in the customer base. However, the overall stability of the receivables turnover ratio implies that Teleflex has been managing its accounts receivable effectively and maintaining a relatively steady collection process. Further analysis of industry benchmarks and trends could provide additional insights into the company's receivables management efficiency.