Williams Companies Inc (WMB)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 10,907,000 | 10,965,000 | 10,627,000 | 7,719,000 | 8,201,000 |
| Receivables | US$ in thousands | 1,655,000 | 2,723,000 | 1,978,000 | 999,000 | 996,000 |
| Receivables turnover | 6.59 | 4.03 | 5.37 | 7.73 | 8.23 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $10,907,000K ÷ $1,655,000K
= 6.59
The receivables turnover ratio measures how efficiently Williams Cos Inc is able to collect payments from its customers. A higher ratio indicates that the company is collecting payments more quickly.
Looking at the trend from 2019 to 2023, we can see that the receivables turnover ratio has been fluctuating. In 2019, the ratio was at its highest at 8.23, indicating that the company collected payments relatively quickly. However, the ratio decreased in subsequent years, reaching its lowest point at 4.03 in 2022.
In 2023, the receivables turnover ratio improved to 6.59, suggesting that Williams Cos Inc was able to collect payments more efficiently compared to the previous year. Despite the improvement, the ratio is still lower than the levels seen in 2019 and 2020.
Overall, Williams Cos Inc's receivables turnover ratio has shown some variability in recent years, with fluctuations indicating changes in the company's ability to collect payments from customers efficiently. Further analysis of the underlying reasons for these fluctuations may provide insights into the company's overall financial health.
Peer comparison
Dec 31, 2023