Waste Management Inc (WM)
Receivables turnover
| 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 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 19,855,000 | 19,745,000 | 19,622,000 | 19,530,000 | 19,293,000 | 19,066,000 | 18,656,000 | 17,885,000 | 17,341,000 | 16,634,000 | 15,778,000 | 15,083,000 | 14,694,000 | 14,948,000 | 15,105,000 | 15,406,000 | 15,372,000 | 15,368,000 | 15,224,000 | 15,101,000 |
| Receivables | US$ in thousands | 2,870,000 | 2,917,000 | 2,846,000 | 2,608,000 | 2,752,000 | 2,676,000 | 2,665,000 | 2,479,000 | 2,546,000 | 2,669,000 | 2,645,000 | 2,427,000 | 2,624,000 | 2,217,000 | 2,107,000 | 2,662,000 | 1,949,000 | 2,010,000 | 2,017,000 | 1,830,000 |
| Receivables turnover | 6.92 | 6.77 | 6.89 | 7.49 | 7.01 | 7.12 | 7.00 | 7.21 | 6.81 | 6.23 | 5.97 | 6.21 | 5.60 | 6.74 | 7.17 | 5.79 | 7.89 | 7.65 | 7.55 | 8.25 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $19,855,000K ÷ $2,870,000K
= 6.92
The receivables turnover ratio of Waste Management, Inc. has been relatively consistent over the past eight quarters, ranging from 6.91 to 7.64. This ratio indicates how efficiently the company is collecting payments from its customers.
A higher receivables turnover ratio generally signifies that the company is collecting outstanding receivables more quickly, which is a positive sign of operational efficiency. Waste Management's ratios in the range of 6.91 to 7.64 suggest that the company has been effectively managing its accounts receivable and converting them into cash.
Overall, Waste Management, Inc. has demonstrated a consistent performance in terms of its receivables turnover, indicating a sound credit policy and efficient collection efforts.
Peer comparison
Dec 31, 2023