Zimmer Biomet Holdings Inc (ZBH)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 7,171,400 | 6,780,400 | 7,459,000 | 6,789,700 | 7,751,900 |
| Receivables | US$ in thousands | 1,442,400 | 1,381,500 | 1,404,900 | 1,452,700 | 1,363,900 |
| Receivables turnover | 4.97 | 4.91 | 5.31 | 4.67 | 5.68 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $7,171,400K ÷ $1,442,400K
= 4.97
The receivables turnover ratio for Zimmer Biomet Holdings Inc has shown fluctuations over the past five years. In 2023, the company's receivables turnover ratio was 5.13, slightly higher than the previous year's figure of 5.02. This indicates that the company collected its accounts receivables approximately 5.13 times during the year.
Comparing this to 2021, where the receivables turnover ratio was 5.58, we see a slight decrease in efficiency in collecting receivables in 2023. However, it is important to note that the 2023 ratio is still higher than the 2020 figure of 4.84, showing an improvement compared to the previous year.
Overall, Zimmer Biomet Holdings Inc has maintained a relatively stable receivables turnover ratio over the past five years, indicating efficient management of accounts receivables. Further analysis could be conducted to understand the reasons behind the fluctuations and to assess the company's effectiveness in collecting outstanding payments from customers.
Peer comparison
Dec 31, 2023