Corteva Inc (CTVA)
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 | 17,226,000 | 17,344,000 | 17,531,000 | 17,738,000 | 17,455,000 | 17,109,000 | 16,703,000 | 16,078,000 | 15,655,000 | 15,383,000 | 14,875,000 | 14,439,000 | 14,217,000 | 13,993,000 | 14,041,000 | 14,406,000 | 13,846,000 | |||
| Receivables | US$ in thousands | 5,488,000 | 6,581,000 | 7,955,000 | 8,678,000 | 5,701,000 | 6,273,000 | 6,947,000 | 7,275,000 | 4,811,000 | 5,818,000 | 6,792,000 | 6,792,000 | 4,926,000 | 5,627,000 | 6,772,000 | 6,775,000 | 5,528,000 | 6,574,000 | 7,434,000 | 6,507,000 |
| Receivables turnover | 3.14 | 2.64 | 2.20 | 2.04 | 3.06 | 2.73 | 2.40 | 2.21 | 3.25 | 2.64 | 2.19 | 2.13 | 2.89 | 2.49 | 2.07 | 2.13 | 2.50 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $17,226,000K ÷ $5,488,000K
= 3.14
The receivables turnover for Corteva Inc has shown fluctuations over the past eight quarters. In Q4 2023, the receivables turnover increased to 3.14 compared to the previous quarter, indicating that the company collected its accounts receivable more efficiently during this period. This improvement is a positive sign of effective management of credit sales and collections.
Looking at the trend over the past year, there have been variations in the receivables turnover ratio, with some quarters showing higher turnover rates than others. Overall, for the most part, the company has been able to maintain a receivables turnover above 2, which suggests a relatively healthy collection of receivables.
It is important to note that a higher receivables turnover ratio indicates that the company is collecting its accounts receivable more quickly, which is favorable as it improves cash flow and reduces the risk of bad debts. However, a consistently low ratio could indicate issues with the company's credit policies or difficulties in collecting outstanding invoices.
In conclusion, the recent uptick in Corteva Inc's receivables turnover ratio in Q4 2023 is a positive sign of efficient accounts receivable management. Monitoring this ratio over time will be crucial to assessing the company's financial health and operational efficiency.
Peer comparison
Dec 31, 2023