Interpublic Group of Companies Inc (IPG)
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 | 10,889,300 | 10,851,900 | 10,811,100 | 10,880,300 | 10,927,800 | 10,874,000 | 10,778,300 | 10,552,200 | 10,240,700 | 9,858,600 | 9,442,100 | 8,958,200 | 9,061,000 | 9,412,800 | 9,725,400 | 10,219,900 | 10,221,300 | 10,175,500 | 10,034,900 | 9,906,500 |
| Receivables | US$ in thousands | 7,998,000 | 6,464,300 | 6,385,900 | 5,946,500 | 7,339,000 | 6,279,100 | 6,247,900 | 6,335,200 | 7,524,900 | 6,192,900 | 5,937,000 | 5,283,000 | 6,467,100 | 5,114,600 | 4,610,300 | 5,575,500 | 7,143,300 | 6,066,500 | 6,367,100 | 6,104,900 |
| Receivables turnover | 1.36 | 1.68 | 1.69 | 1.83 | 1.49 | 1.73 | 1.73 | 1.67 | 1.36 | 1.59 | 1.59 | 1.70 | 1.40 | 1.84 | 2.11 | 1.83 | 1.43 | 1.68 | 1.58 | 1.62 |
December 31, 2023 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $10,889,300K ÷ $7,998,000K
= 1.36
The receivables turnover ratio of Interpublic Group Of Cos., Inc. has exhibited some fluctuation over the past eight quarters. The ratio measures the efficiency with which the company collects outstanding receivables from its customers. A higher receivables turnover ratio indicates that the company is able to collect its outstanding receivables more quickly.
In Q1 2022, the receivables turnover was 1.67, which increased to 1.73 in Q2 2022 and remained at the same level in Q3 2022 before slightly dropping to 1.49 in Q4 2022. However, the ratio improved in Q1 2023 to 1.83, indicating more efficient collection of receivables. Subsequently, there was a slight decline in Q2 2023 to 1.69 and further decrease in Q3 2023 to 1.68, before dropping to 1.36 in Q4 2023.
Overall, the receivables turnover ratio has shown some variability, which suggests potential changes in the company's collection policies or the creditworthiness of its customers. It is important for the company to monitor and manage its receivables turnover ratio to ensure timely collection of outstanding payments and maintain healthy cash flows.
Peer comparison
Dec 31, 2023