Aptiv PLC (APTV)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 20,051,000 | 17,489,000 | 15,618,000 | 13,066,000 | 14,357,000 |
| Receivables | US$ in thousands | 3,815,000 | 3,648,000 | 3,032,000 | 3,016,000 | 2,829,000 |
| Receivables turnover | 5.26 | 4.79 | 5.15 | 4.33 | 5.07 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $20,051,000K ÷ $3,815,000K
= 5.26
The receivables turnover ratio for Aptiv PLC has shown some fluctuation over the past five years. The ratio indicates how efficiently the company is collecting its accounts receivable from customers during a specific period.
In 2023, the receivables turnover ratio improved to 5.26, signaling that Aptiv was collecting its outstanding receivables more frequently compared to the previous year. This suggests better management of credit sales and a quicker conversion of receivables into cash.
In 2022, the ratio was 4.79, slightly lower than 2023 but still above the levels seen in 2020 and 2019. This indicates that Aptiv was able to collect receivables at a good pace, although not as efficiently as in 2023.
In 2021, the receivables turnover ratio was 5.15, showing a similar trend to 2023, indicating effective management of accounts receivable during that year.
In 2020, the ratio was 4.33, the lowest among the five years analyzed. This could suggest potential delays in collecting receivables during that period.
In 2019, the ratio was 5.07, indicating a healthy level of receivables turnover, similar to 2021.
Overall, the trend in the receivables turnover ratio for Aptiv PLC shows some variability but generally points to effective management of accounts receivable, especially in 2023 when the ratio improved significantly. Monitoring this ratio can help assess the company's credit policies, collection procedures, and overall liquidity management.
Peer comparison
Dec 31, 2023