United Airlines Holdings Inc (UAL)

Receivables turnover

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	51,951,000	50,709,000	49,119,000	47,117,000	43,302,000	39,125,000	33,995,000	27,348,000	23,067,000	18,683,000	13,524,000	9,753,000	14,000,000	21,476,000	30,513,000	40,437,000	42,706,000	42,309,000	41,928,000	41,485,000
Receivables	US$ in thousands	1,898,000	2,193,000	2,004,000	2,274,000	1,801,000	2,034,000	2,217,000	2,062,000	1,663,000	1,709,000	1,793,000	1,389,000	1,295,000	1,171,000	857,000	792,000	1,364,000	1,617,000	1,762,000	1,789,000
Receivables turnover		27.37	23.12	24.51	20.72	24.04	19.24	15.33	13.26	13.87	10.93	7.54	7.02	10.81	18.34	35.60	51.06	31.31	26.17	23.80	23.19

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $51,951,000K ÷ $1,898,000K
= 27.37

The receivables turnover ratio for United Airlines Holdings Inc has shown an increasing trend over the past eight quarters, indicating a more efficient management of accounts receivable. In Q4 2023, the company achieved a receivables turnover ratio of 28.30, which suggests that the company collected its accounts receivable approximately 28.30 times during that quarter.

Comparing Q4 2023 to the same quarter in the previous year (Q4 2022), the ratio has improved from 24.96 to 28.30, indicating better efficiency in collecting outstanding payments from customers. This improvement may signify more effective credit and collection policies, tighter credit controls, or timely invoicing and collection efforts by the company.

Furthermore, the consistent increase in the receivables turnover ratio from Q1 2022 to Q4 2023 indicates that United Airlines Holdings Inc has been successful in managing its accounts receivable more effectively over time, showcasing improved liquidity and potentially lower credit risk. This trend suggests that the company is efficiently converting its credit sales into cash, which is a positive indicator of its financial health.