Ingredion Incorporated (INGR)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 8,160,000 | 7,946,000 | 6,894,000 | 5,966,000 | 6,200,000 |
| Receivables | US$ in thousands | 1,279,000 | 1,411,000 | 1,130,000 | 1,011,000 | 977,000 |
| Receivables turnover | 6.38 | 5.63 | 6.10 | 5.90 | 6.35 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $8,160,000K ÷ $1,279,000K
= 6.38
Ingredion Inc's receivables turnover has fluctuated over the past five years, ranging from 5.63 times to 6.38 times. The receivables turnover ratio measures how efficiently the company is collecting on credit sales from customers. An increasing trend in the turnover ratio generally indicates that the company is collecting its accounts receivable more quickly.
In 2023, Ingredion Inc's receivables turnover improved to 6.38, indicating that the company collected its accounts receivable approximately 6.38 times during the year. This represents an enhancement in the efficiency of the company's receivables collection process compared to the previous year.
The company's ability to collect receivables efficiently is essential for maintaining a healthy cash flow and liquidity position. Monitoring the trend in receivables turnover over time can provide valuable insights into the company's credit policies, collection processes, and overall financial health.
Peer comparison
Dec 31, 2023