WD-40 Company (WDFC)
Receivables turnover
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 589,498 | 532,231 | 517,489 | 488,109 | 408,498 |
| Receivables | US$ in thousands | 117,493 | 98,039 | 89,930 | 89,558 | 80,672 |
| Receivables turnover | 5.02 | 5.43 | 5.75 | 5.45 | 5.06 |
August 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $589,498K ÷ $117,493K
= 5.02
The receivables turnover ratio for WD-40 Company has shown a consistent trend over the past five years, ranging from 5.02 to 5.75. This ratio indicates the number of times, on average, the company collects its accounts receivable during a specific period. A higher turnover ratio typically suggests that the company is efficient in collecting outstanding receivables.
WD-40 Company's receivables turnover peaked in 2022 at 5.75, indicating that the company was collecting its receivables at a faster rate compared to the other years analyzed. The slight decreases in 2023 and 2024 to 5.43 and 5.02, respectively, suggest a potential slowdown in the collection of receivables during those years.
Overall, while WD-40 Company's receivables turnover has fluctuated slightly over the years, the company has maintained a relatively stable performance in managing its accounts receivable. Further analysis of the company's collections process and credit policies may provide additional insights into the efficiency of its receivables management.
Peer comparison
Aug 31, 2024