Vulcan Materials Company (VMC)

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	7,782,000	7,679,600	7,582,100	7,423,500	7,315,200	7,189,600	6,617,800	6,024,500	5,552,100	5,120,920	4,914,310	4,875,890	4,856,830	4,867,860	4,976,730	4,981,830	4,929,101	4,831,001	4,652,441	4,524,911
Receivables	US$ in thousands	-13,600	1,184,500	1,160,400	975,000	845,600	1,212,600	1,111,600	917,900	783,200	938,189	686,852	593,128	512,945	644,207	695,860	597,665	532,311	724,940	697,331	560,530
Receivables turnover		—	6.48	6.53	7.61	8.65	5.93	5.95	6.56	7.09	5.46	7.15	8.22	9.47	7.56	7.15	8.34	9.26	6.66	6.67	8.07

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $7,782,000K ÷ $-13,600K
= —

Receivables turnover measures how efficiently a company collects payments from its customers. It is calculated as net credit sales divided by average accounts receivable. A higher turnover ratio indicates better receivables management.

Analyzing Vulcan Materials Co's receivables turnover over the past eight quarters shows fluctuations in the efficiency of their collection process. In Q4 2023, the receivables turnover was 8.75, which represents a significant improvement compared to the previous quarters. This suggests that the company collected payments from customers at a faster rate during that period.

However, it is important to consider the trend over multiple quarters. Looking at the data, there are periods of fluctuation in the receivables turnover ratio, indicating variability in the company's collection efficiency. Despite minor ups and downs, the turnover ratio generally shows an upward trend, which is a positive sign of improving receivables management over time.

Overall, based on the data provided, Vulcan Materials Co's receivables turnover has shown some variability but appears to be gradually improving, indicating effective management of accounts receivable and timely collection of payments from customers.