Worthington Industries Inc (WOR)
Receivables turnover
| Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 3,825,795 | 3,855,355 | 3,943,975 | 4,159,375 | 4,450,815 | 5,482,740 | 5,540,060 | 5,242,220 | 4,700,239 | 4,081,108 | 3,579,340 | 3,171,429 | 2,804,737 | 2,809,624 | 2,906,169 | 3,059,119 | 3,386,334 | 3,496,719 | 3,627,308 | 3,759,556 |
| Receivables | US$ in thousands | 221,787 | 646,337 | 700,880 | 697,085 | 731,518 | 714,502 | 820,663 | 878,049 | 859,411 | 738,312 | 718,368 | 641,922 | 529,119 | 445,183 | 425,425 | 349,414 | 483,893 | 489,785 | 480,639 | 512,838 |
| Receivables turnover | 17.25 | 5.96 | 5.63 | 5.97 | 6.08 | 7.67 | 6.75 | 5.97 | 5.47 | 5.53 | 4.98 | 4.94 | 5.30 | 6.31 | 6.83 | 8.75 | 7.00 | 7.14 | 7.55 | 7.33 |
February 29, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $3,825,795K ÷ $221,787K
= 17.25
The receivables turnover ratio for Worthington Industries Inc has varied over the past several quarters, indicating fluctuations in the company's efficiency in collecting its accounts receivable.
In the most recent period ending February 29, 2024, the receivables turnover ratio was 17.25, suggesting that Worthington Industries converted its accounts receivable into cash 17.25 times during the year. This sharp increase from the previous period indicates a significant improvement in the company's collection efficiency.
However, looking back at the trend over the past few quarters, the receivables turnover ratio has shown some volatility. While it peaked at 8.75 in August 31, 2020, and then again at 17.25 in February 29, 2024, there have been periods such as November 30, 2021, and February 29, 2020, where the ratio was lower, indicating a longer period taken to collect receivables.
Overall, the trend in Worthington Industries' receivables turnover ratio suggests that the company has demonstrated varying levels of effectiveness in collecting outstanding debts. The recent surge in the ratio may indicate a more proactive approach to managing receivables, but sustained monitoring and improvement in this area will be crucial for the company's financial health.
Peer comparison
Feb 29, 2024