Travel + Leisure Co (TNL)

Receivables turnover

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Revenue US$ in thousands 3,750,000 3,567,000 3,134,000 2,160,000 4,043,000
Receivables US$ in thousands 3,120,000
Receivables turnover 1.30

December 31, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $3,750,000K ÷ $—K
= —

The receivables turnover ratio for Travel+Leisure Co has shown fluctuations over the past five years. In 2023, the company's receivables turnover was 11.90 times, indicating that on average, the company collected its accounts receivable approximately 11.90 times during the year. Comparing this figure to previous years, there has been a decline from 15.64 in 2022 and 16.24 in 2021, suggesting a potential inefficiency in collecting accounts receivable compared to these two years.

However, when looking at the trend over the entire five-year period, the 2023 turnover ratio is still higher than the 10.19 in 2020 but lower than the 15.55 in 2019. This indicates that the company's ability to collect receivables improved in 2023 compared to 2020 but declined compared to 2019.

Overall, a receivables turnover ratio of 11.90 suggests that the company is collecting its accounts receivable at a moderately efficient rate in 2023. However, management should monitor this ratio closely to ensure timely collection of outstanding receivables to maintain healthy cash flows and liquidity.


Peer comparison

Dec 31, 2023