Twilio Inc (TWLO)
Receivables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,458,040 | 4,153,940 | 3,826,320 | 2,841,840 | 1,761,780 |
| Receivables | US$ in thousands | 588,540 | 562,773 | 547,507 | 388,215 | 251,167 |
| Receivables turnover | 7.57 | 7.38 | 6.99 | 7.32 | 7.01 |
December 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $4,458,040K ÷ $588,540K
= 7.57
The receivables turnover ratio for Twilio Inc. over the period from December 31, 2020, to December 31, 2024, demonstrates a relatively stable trend with slight fluctuations. In 2020, the ratio was 7.01, indicating that, on average, the company collected its receivables approximately 7.01 times during the year. This ratio increased marginally to 7.32 in 2021, suggesting a modest improvement in collection efficiency. However, in 2022, a slight decline to 6.99 was observed, reflecting a minor decrease in receivable collection rate.
Subsequently, the ratio resumed an upward trajectory, reaching 7.38 in 2023, and further increasing to 7.57 in 2024. This gradual upward trend suggests that Twilio's efficiency in converting accounts receivable into cash has slightly improved over these years, indicating effective receivables management and collection processes.
Overall, the data indicates that Twilio maintains a consistent level of receivables turnover with minor year-over-year fluctuations. The incremental increase in the ratio in the later years may point to enhanced collection practices or improved credit policies. The stable yet marginally increasing trend reflects a balanced approach toward receivables management, supporting cash flow stability.
Peer comparison
Dec 31, 2024