Ultra Clean Holdings Inc (UCTT)

Receivables turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	2,097,600	1,734,500	2,374,300	2,101,600	1,398,600
Receivables	US$ in thousands	241,100	180,800	253,700	250,100	145,500
Receivables turnover		8.70	9.59	9.36	8.40	9.61

December 31, 2024 calculation

Receivables turnover = Revenue ÷ Receivables
= $2,097,600K ÷ $241,100K
= 8.70

Ultra Clean Holdings Inc's receivables turnover has shown some fluctuations over the past five years. The receivables turnover ratios for the fiscal years ending on December 31, 2020, and December 31, 2023, were relatively high at 9.61 and 9.59, respectively. This indicates that the company collected its accounts receivable nearly 10 times during those years.

However, there was a slight decrease in the receivables turnover ratio for the fiscal year ending on December 31, 2021, which dropped to 8.40. This may suggest that the company took longer to collect its accounts receivable during that specific period.

The receivables turnover ratio improved in the subsequent year ending on December 31, 2022, reaching 9.36, indicating a more efficient collection of receivables compared to the previous year.

In the most recent period ending on December 31, 2024, the turnover ratio declined to 8.70. While still relatively high, this decrease may warrant further investigation to understand if there are any underlying issues affecting the company's accounts receivable collection efficiency.

Overall, the trend in Ultra Clean Holdings Inc's receivables turnover ratios demonstrates variations in the efficiency of collecting accounts receivable over the analyzed period. Further analysis and comparison with industry benchmarks may provide additional insights into the company's performance in managing its receivables.