Victoria's Secret & Co (VSCO)
Receivables turnover
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | ||
|---|---|---|---|---|
| Revenue | US$ in thousands | 6,083,000 | 6,284,000 | 6,758,000 |
| Receivables | US$ in thousands | 152,000 | 141,000 | 162,000 |
| Receivables turnover | 40.02 | 44.57 | 41.72 |
February 3, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $6,083,000K ÷ $152,000K
= 40.02
Victoria's Secret & Co's receivables turnover ratio has shown a slight decline over the past three years, moving from 41.72 in January 2022 to 44.57 in January 2023, and further dropping to 40.02 in February 2024. This indicates that the company is collecting its accounts receivable less efficiently in the most recent period compared to the prior years. A lower receivables turnover ratio may suggest a longer collection period for outstanding receivables, potentially tying up more of the company's funds in accounts receivable. Further investigation into the company's credit policies, collection procedures, and overall customer creditworthiness may be warranted to address the declining trend in receivables turnover.
Peer comparison
Feb 3, 2024