Cactus Inc (WHD)
Receivables turnover
| Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,136,594 | 1,090,876 | 1,013,935 | 910,546 | 774,942 | 692,436 | 630,002 | 560,884 | 499,562 | 438,080 | 377,939 | 322,365 | 280,020 | 349,742 | 420,714 | 521,621 | 623,460 | 625,996 | 625,582 | 615,274 |
| Receivables | US$ in thousands | 239,324 | 232,181 | 242,851 | 249,590 | 237,342 | 173,168 | 166,048 | 154,121 | 127,011 | 113,305 | 97,301 | 87,225 | 68,533 | 52,768 | 48,690 | 52,724 | 116,736 | 111,665 | 100,305 | 112,963 |
| Receivables turnover | 4.75 | 4.70 | 4.18 | 3.65 | 3.27 | 4.00 | 3.79 | 3.64 | 3.93 | 3.87 | 3.88 | 3.70 | 4.09 | 6.63 | 8.64 | 9.89 | 5.34 | 5.61 | 6.24 | 5.45 |
March 31, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,136,594K ÷ $239,324K
= 4.75
The receivables turnover of Cactus Inc has shown fluctuations over the past several quarters. The ratio measures how efficiently the company is collecting on its accounts receivable during a specific period. A higher turnover ratio indicates that the company is collecting its outstanding receivables more quickly.
Looking at the data, we can see that the receivables turnover ratio has varied between 3.27 and 4.75 over the last five quarters. In general, the trend has been increasing, with some slight fluctuations in between.
The significant spike in the receivables turnover ratio in the last few quarters of 2020 and the first quarter of 2021 suggests that Cactus Inc was collecting its accounts receivable at a much faster rate during that period. However, there has been a gradual decline in the ratio since then, although the overall level remains relatively healthy.
It is essential for the company to monitor its receivables turnover ratio regularly to ensure that it is maintaining an appropriate balance between granting credit to customers and collecting receivables efficiently. A sustained downward trend in the ratio may indicate potential issues with the company's credit policies or difficulties in collecting outstanding balances. Conversely, a significant increase may signal stricter credit terms or improved collection practices.
Peer comparison
Mar 31, 2024