Baxter International Inc (BAX)

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	14,920,000	14,899,000	14,958,000	15,052,000	15,164,000	14,775,000	14,223,000	13,534,000	12,731,000	12,327,000	12,064,000	11,659,000	11,491,000	11,459,000	11,330,000	11,475,000	11,340,000	11,142,000	11,110,000	11,118,000
Receivables	US$ in thousands	2,880,000	2,512,000	2,495,000	2,547,000	2,848,000	2,555,000	-125,000	-129,000	2,828,000	-115,000	-117,000	-120,000	2,240,000	-122,000	-120,000	-114,000	2,036,000	—	—	—
Receivables turnover		5.18	5.93	6.00	5.91	5.32	5.78	—	—	4.50	—	—	—	5.13	—	—	—	5.57	—	—	—

December 31, 2023 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $14,920,000K ÷ $2,880,000K
= 5.18

The receivables turnover ratio measures how efficiently a company collects its accounts receivable during a specific period. A higher receivables turnover indicates that the company is collecting its outstanding receivables more quickly.

Looking at the data provided for Baxter International Inc., we observe fluctuations in the receivables turnover ratio over the past eight quarters. In Q2 2023, Baxter International Inc. achieved the highest turnover ratio of 6.02, indicating efficient collections from customers. This was followed by a slightly lower ratio in Q3 2023 at 5.95.

Overall, Baxter International Inc. has maintained relatively stable receivables turnover ratios above 5.0 over the past eight quarters. This consistency suggests that the company has been successful in managing its accounts receivable effectively. However, it is essential to monitor any significant deviations from this trend to assess changes in the company's credit policies, customer payment behavior, or financial performance.