AGCO Corporation (AGCO)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,407,800 | 25,289,800 | 22,269,900 | 18,284,400 | 18,062,900 |
| Receivables | US$ in thousands | 1,605,300 | 1,221,300 | 991,500 | 856,000 | 800,500 |
| Receivables turnover | 8.98 | 20.71 | 22.46 | 21.36 | 22.56 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $14,407,800K ÷ $1,605,300K
= 8.98
AGCO Corp.'s receivables turnover ratio has exhibited a decreasing trend over the past five years. The ratio declined from 11.29 in 2019 to 8.98 in 2023. This might indicate a slowdown in the company's ability to collect its accounts receivable efficiently. A lower receivables turnover ratio could suggest that AGCO Corp. is taking longer to collect payments from its customers, which could potentially impact its cash flow and liquidity. Further analysis of the company's credit policies, customer base, and industry trends may be necessary to fully understand the reasons behind this trend and to assess its implications for the company's financial performance.
Peer comparison
Dec 31, 2023