Tyler Technologies Inc (TYL)

Receivables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	1,928,120	1,821,820	1,568,990	1,116,660	1,086,430
Receivables	US$ in thousands	619,704	577,257	521,059	382,319	374,089
Receivables turnover		3.11	3.16	3.01	2.92	2.90

December 31, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $1,928,120K ÷ $619,704K
= 3.11

Receivables turnover is a financial ratio that measures how efficiently a company is able to collect payments from its customers. A higher receivables turnover ratio indicates that the company is collecting payments more quickly, which is generally seen as a positive sign of strong liquidity and effective credit management.

Tyler Technologies, Inc.'s receivables turnover has fluctuated over the past five years. In 2023, the receivables turnover ratio was 3.15, indicating that the company collected its accounts receivable approximately 3.15 times during the year. This is slightly lower compared to 2022 when the ratio was 3.21. However, it is still higher than the ratios reported in 2021, 2020, and 2019, which were 2.95, 2.76, and 2.85, respectively.

Overall, Tyler Technologies, Inc. has shown a generally consistent ability to convert its accounts receivable into cash over the years, with some fluctuations in the ratio. The company's receivables turnover ratio in 2023 suggests that it was able to collect payments from its customers at a relatively efficient pace. It would be beneficial for the company to continue monitoring and managing its accounts receivable effectively to maintain a healthy liquidity position.