Trade Desk Inc (TTD)

Receivables turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	2,444,830	1,946,120	1,577,800	1,196,470	836,033
Receivables	US$ in thousands	3,330,340	2,870,310	2,347,200	2,020,720	1,584,110
Receivables turnover		0.73	0.68	0.67	0.59	0.53

December 31, 2024 calculation

Receivables turnover = Revenue ÷ Receivables
= $2,444,830K ÷ $3,330,340K
= 0.73

The receivables turnover ratio for Trade Desk Inc. has demonstrated a consistent upward trend over the reported periods, reflecting an improvement in the company's efficiency in collecting its accounts receivable. Specifically, the ratio increased from 0.53 as of December 31, 2020, to 0.59 at the end of 2021, indicating a modest improvement in receivables management. This upward movement continued, with the ratio reaching 0.67 by the close of 2022, suggesting a further enhancement in collection efficiency. The trend persisted into 2023, with the ratio slightly increasing to 0.68, demonstrating stability and continued efficiency. The most recent data from December 31, 2024, shows a ratio of 0.73, representing a continued incremental improvement. Overall, the progressive increase in receivables turnover over this period implies that Trade Desk Inc. has been improving its ability to rapidly convert receivables into cash, which can be indicative of stronger credit management policies and effective collection practices.