Wingstop Inc (WING)

Receivables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	460,055	357,521	282,502	248,811	199,676
Receivables	US$ in thousands	12,408	9,461	8,110	4,929	5,175
Receivables turnover		37.08	37.79	34.83	50.48	38.58

December 31, 2023 calculation

Receivables turnover = Revenue ÷ Receivables
= $460,055K ÷ $12,408K
= 37.08

Wingstop Inc's receivables turnover ratio has fluctuated over the past five years, ranging from a low of 34.83 in 2021 to a high of 50.48 in 2020. The ratio measures how efficiently the company collects payments from its customers. A higher turnover ratio indicates that Wingstop is collecting payments more quickly, which is generally seen as favorable. However, the significant fluctuations in the ratio over the years may suggest varying collection practices or changes in customer payment behavior. It is important for Wingstop to closely monitor and manage its accounts receivable to ensure timely collections and maintain a healthy cash flow.