Agilent Technologies Inc (A)
Receivables turnover
| Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | Oct 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 6,784,000 | 6,774,000 | 6,236,000 | 5,271,000 | 5,073,000 |
| Receivables | US$ in thousands | 1,391,000 | 1,492,000 | 1,238,000 | 1,127,000 | 998,000 |
| Receivables turnover | 4.88 | 4.54 | 5.04 | 4.68 | 5.08 |
October 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $6,784,000K ÷ $1,391,000K
= 4.88
The receivables turnover ratio measures how efficiently a company is able to collect on its credit sales. Agilent Technologies Inc.'s receivables turnover has fluctuated over the past five years, ranging from 4.87 to 5.55, with a notable decrease in 2022 and a subsequent increase in 2023. This indicates that in 2023, Agilent Technologies was able to collect its accounts receivables approximately 5.29 times during the year. A higher receivables turnover ratio generally implies that the company has a more efficient credit and collection policy, or that it operates in an industry where customers typically pay their bills quickly. However, it's important to note that the interpretation of this ratio should take into consideration the company's specific industry and business model.
Peer comparison
Oct 31, 2023