ASGN Inc (ASGN)
Receivables turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 4,450,600 | 4,526,900 | 4,608,000 | 4,618,900 | 4,581,100 | 4,484,500 | 4,360,400 | 4,193,500 | 4,009,500 | 3,856,100 | 3,686,700 | 3,543,700 | 3,502,100 | 3,626,900 | 3,725,200 | 3,865,600 | 3,923,900 | 3,828,400 | 3,732,100 | 3,638,300 |
| Receivables | US$ in thousands | 741,500 | 804,600 | 828,900 | 822,800 | 853,600 | 877,900 | 843,200 | 775,800 | 708,200 | 697,700 | 624,700 | 646,900 | 602,800 | 676,500 | 612,100 | 683,000 | 648,700 | 650,500 | 621,500 | 618,700 |
| Receivables turnover | 6.00 | 5.63 | 5.56 | 5.61 | 5.37 | 5.11 | 5.17 | 5.41 | 5.66 | 5.53 | 5.90 | 5.48 | 5.81 | 5.36 | 6.09 | 5.66 | 6.05 | 5.89 | 6.00 | 5.88 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $4,450,600K ÷ $741,500K
= 6.00
ASGN Inc's receivables turnover has shown a generally positive trend over the past eight quarters. The turnover ratio, which measures how efficiently the company collects outstanding receivables, has improved steadily from 5.37 in Q4 2022 to 6.00 in Q4 2023.
This increase indicates that ASGN Inc has been able to collect its accounts receivable more frequently within a given period, reflecting a shorter collection period on average. The company's ability to convert receivables into cash has improved over time, which is a positive sign of effective credit management and cash flow optimization.
The consistent improvement in receivables turnover suggests that ASGN Inc has been successful in managing its credit policies, monitoring collections effectively, and potentially improving its customer credit risk assessment. These factors are important in maintaining a healthy cash flow and liquidity position for the company.
Overall, the upward trend in the receivables turnover ratio reflects positively on ASGN Inc's operational efficiency and financial health in terms of managing its accounts receivable effectively.
Peer comparison
Dec 31, 2023