Ufp Industries Inc (UFPI)
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 | 7,218,390 | 7,607,740 | 8,102,960 | 8,959,910 | 9,626,740 | 9,729,840 | 9,500,760 | 9,300,430 | 8,636,120 | 8,013,030 | 7,405,480 | 5,946,940 | 5,154,000 | 4,758,330 | 4,435,130 | 4,432,950 | 4,416,010 | 4,406,151 | 4,455,821 | 4,510,441 |
| Receivables | US$ in thousands | 578,826 | 724,039 | 816,017 | — | 650,730 | 906,547 | 1,059,630 | 1,095,360 | 742,611 | 798,093 | 980,571 | 808,105 | 476,340 | 583,079 | 522,930 | 463,445 | 377,299 | 476,198 | 483,263 | 448,740 |
| Receivables turnover | 12.47 | 10.51 | 9.93 | — | 14.79 | 10.73 | 8.97 | 8.49 | 11.63 | 10.04 | 7.55 | 7.36 | 10.82 | 8.16 | 8.48 | 9.57 | 11.70 | 9.25 | 9.22 | 10.05 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $7,218,390K ÷ $578,826K
= 12.47
The receivables turnover ratio for Ufp Industries Inc has shown some fluctuations over the past five years. The ratio measures how efficiently the company is able to collect payments from its customers.
From the data provided, we can observe that the receivables turnover ratio has generally been above 8, indicating that the company is able to collect its accounts receivable multiple times throughout the year. The ratio has ranged from a low of 7.36 to a high of 14.79 during this period.
In terms of trend, the ratio appears to have increased from 2019 through 2020, peaked in 2022, and then fluctuated in 2023. This may suggest that the company improved its collection efficiency initially, but then experienced some variability in its receivables management more recently.
Overall, a receivables turnover ratio above 8 is usually considered healthy, as it indicates that the company is collecting its outstanding receivables in a timely manner. However, fluctuations in the ratio could warrant further investigation into the company's credit policies, customer payment behaviors, or changes in the industry that may impact collections.