United Rentals Inc (URI)
Receivables turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 15,345,000 | 14,978,000 | 14,751,000 | 14,532,000 | 14,332,000 | 13,900,000 | 13,186,000 | 12,403,000 | 11,642,000 | 11,122,000 | 10,667,000 | 10,183,000 | 9,716,000 | 9,219,000 | 8,810,000 | 8,462,000 | 8,530,000 | 8,707,000 | 9,008,000 | 9,359,000 |
| Receivables | US$ in thousands | 2,357,000 | 2,396,000 | 2,260,000 | 2,221,000 | 2,230,000 | 2,277,000 | 2,138,000 | 2,034,000 | 2,004,000 | 1,934,000 | 1,744,000 | 1,607,000 | 1,677,000 | 1,602,000 | 1,400,000 | 1,254,000 | 1,315,000 | 1,324,000 | 1,226,000 | 1,413,000 |
| Receivables turnover | 6.51 | 6.25 | 6.53 | 6.54 | 6.43 | 6.10 | 6.17 | 6.10 | 5.81 | 5.75 | 6.12 | 6.34 | 5.79 | 5.75 | 6.29 | 6.75 | 6.49 | 6.58 | 7.35 | 6.62 |
December 31, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $15,345,000K ÷ $2,357,000K
= 6.51
The receivables turnover ratio for United Rentals Inc shows a fluctuating trend over the periods indicated. The ratio measures how efficiently the company is able to collect payment from its customers. A higher ratio typically indicates faster turnover and better management of accounts receivable.
In March 2020, the receivables turnover was 6.62, which increased to 7.35 by June 2020, suggesting an improvement in collecting payments from customers. However, this ratio declined slightly to 6.58 by September 2020. The trend continued with fluctuations in subsequent periods, reaching a low of 5.75 in September 2021, indicating potential difficulties in collecting payments efficiently.
Despite some fluctuations, the receivables turnover ratio generally remained within a range between 5.75 and 6.75 over the analyzed periods. This range suggests that United Rentals Inc may need to focus on enhancing its accounts receivable management to ensure consistent and efficient collection of payments from customers. An analysis of the underlying reasons behind these fluctuations could provide insights into potential areas for improvement in the company's receivables management practices.
Peer comparison
Dec 31, 2024