Gentherm Inc (THRM)
Receivables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,452,030 | 1,447,650 | 1,192,770 | 1,044,070 | 902,575 |
| Receivables | US$ in thousands | 258,112 | 253,579 | 252,621 | 196,020 | 230,872 |
| Receivables turnover | 5.63 | 5.71 | 4.72 | 5.33 | 3.91 |
December 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $1,452,030K ÷ $258,112K
= 5.63
The receivables turnover of Gentherm Inc has shown a generally increasing trend over the past five years. In December 2020, the receivables turnover stood at 3.91, indicating that the company collected its receivables approximately 3.91 times during that year. This ratio improved to 5.33 by December 2021, demonstrating a more efficient collection of receivables.
By December 2022, the receivables turnover slightly decreased to 4.72 but remained relatively healthy, signifying that the company was still managing its receivables effectively. The trend reversed in December 2023, with the receivables turnover increasing significantly to 5.71, showing an improvement in the speed at which Gentherm Inc was collecting its receivables.
By the end of December 2024, the receivables turnover slightly decreased to 5.63, remaining at a high level compared to the starting point in 2020. This indicates that the company has been able to maintain a strong collection efficiency over the period under review.
Overall, the increasing trend in receivables turnover indicates that Gentherm Inc has been effectively managing and collecting its accounts receivables, which is a positive sign of the company's liquidity and operational efficiency.
Peer comparison
Dec 31, 2024