WEC Energy Group Inc (WEC)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 8,893,000 | 9,597,400 | 8,316,000 | 7,241,700 | 7,523,100 |
| Receivables | US$ in thousands | 1,503,200 | 1,818,400 | 1,505,700 | 1,202,800 | 1,176,500 |
| Receivables turnover | 5.92 | 5.28 | 5.52 | 6.02 | 6.39 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $8,893,000K ÷ $1,503,200K
= 5.92
The receivables turnover ratio measures how efficiently a company is able to collect revenue from its customers. A higher receivables turnover ratio indicates that the company is collecting its accounts receivable more quickly.
Analyzing WEC Energy Group Inc's receivables turnover over the past five years, we observe fluctuations in the ratio. The company's receivables turnover decreased from 6.39 in 2019 to 5.92 in 2023, which indicates that the company took longer to collect its accounts receivable in 2023 compared to 2019.
However, it's essential to note that the receivables turnover ratios for the years 2021, 2022, and 2023 are relatively close, indicating consistency in collecting accounts receivable during these years.
Overall, WEC Energy Group Inc's receivables turnover has shown some variability but has generally remained at a healthy level, reflecting the company's ability to efficiently manage its accounts receivable and collect revenue from customers in a timely manner.
Peer comparison
Dec 31, 2023