Valaris Ltd (VAL)
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 | 1,784,200 | 1,734,000 | 1,716,100 | 1,714,200 | 1,602,500 | 1,474,400 | 1,363,900 | 1,153,400 | 1,142,100 | 1,133,100 | 1,091,700 | 1,277,700 | 1,427,200 | 1,642,800 | 1,908,800 | 2,103,900 | 2,053,200 | 1,940,100 | 1,819,700 | 1,694,300 |
| Receivables | US$ in thousands | 459,300 | 492,400 | 473,400 | 393,400 | 449,100 | 535,500 | 544,600 | 439,300 | 444,200 | 455,800 | 436,100 | 449,800 | 449,200 | 429,700 | 363,300 | 493,200 | 520,700 | 567,000 | 628,700 | 313,700 |
| Receivables turnover | 3.88 | 3.52 | 3.63 | 4.36 | 3.57 | 2.75 | 2.50 | 2.63 | 2.57 | 2.49 | 2.50 | 2.84 | 3.18 | 3.82 | 5.25 | 4.27 | 3.94 | 3.42 | 2.89 | 5.40 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,784,200K ÷ $459,300K
= 3.88
The receivables turnover for Valaris Ltd has been relatively stable over the five quarters analyzed. The turnover ratio measures how efficiently the company is collecting its accounts receivables. A higher turnover ratio indicates that the company is collecting its receivables quickly.
In this case, the average receivables turnover for the five quarters is 3.79. This means that, on average, Valaris Ltd is able to collect its accounts receivables approximately 3.79 times per year.
The data shows a slight fluctuation in the receivables turnover ratio, with a low of 3.52 in Q3 2023 and a high of 4.36 in Q1 2023. This could indicate variations in the company's collection efficiency during these periods. Overall, the company seems to be managing its receivables effectively, although there may be room for improvement in smoothing out these fluctuations.
Further analysis of the company's receivables turnover in conjunction with other financial metrics would provide a more comprehensive evaluation of Valaris Ltd's overall financial performance and efficiency in managing its receivables.
Peer comparison
Dec 31, 2023