Union Pacific Corporation (UNP)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 23,193,000 | 24,161,000 | 20,745,000 | 19,533,000 | 21,708,000 |
| Receivables | US$ in thousands | 2,073,000 | 1,891,000 | 1,722,000 | 1,505,000 | 1,595,000 |
| Receivables turnover | 11.19 | 12.78 | 12.05 | 12.98 | 13.61 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $23,193,000K ÷ $2,073,000K
= 11.19
The receivables turnover ratio for Union Pacific Corp. has exhibited some fluctuation over the past five years. The ratio was 11.63 in 2023, down from 13.15 in 2022 and 13.61 in 2019. This indicates that the company collected its accounts receivable approximately 11.63 times during 2023, reflecting a decrease in the efficiency of collecting outstanding payments from customers compared to the previous year. Despite this slight decline, the company's ability to convert receivables into cash remains relatively strong, as the ratio has consistently been above 10 in the last five years. The trend in receivables turnover suggests that Union Pacific Corp. has been managing its accounts receivable effectively, although there may be room for improvement in accelerating the collection of outstanding payments.
Peer comparison
Dec 31, 2023