MKS Instruments Inc (MKSI)
Receivables turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 3,362,000 | 3,227,000 | 3,177,000 | 3,322,000 | 3,259,000 | 3,467,000 | 3,500,000 | 3,343,000 | 3,377,000 | 3,132,600 | 2,994,200 | 2,979,700 | 2,924,200 | 2,826,800 | 2,674,400 | 2,468,000 | 2,307,300 | 2,146,751 | 2,019,233 | 1,943,569 |
| Receivables | US$ in thousands | 615,000 | 609,000 | 597,000 | 576,000 | 603,000 | 618,000 | 631,000 | 572,000 | 720,000 | 730,000 | 481,000 | 480,000 | 442,600 | 443,400 | 431,700 | 420,800 | 392,700 | 363,900 | 381,100 | 381,000 |
| Receivables turnover | 5.47 | 5.30 | 5.32 | 5.77 | 5.40 | 5.61 | 5.55 | 5.84 | 4.69 | 4.29 | 6.22 | 6.21 | 6.61 | 6.38 | 6.20 | 5.87 | 5.88 | 5.90 | 5.30 | 5.10 |
December 31, 2024 calculation
Receivables turnover = Revenue (ttm) ÷ Receivables
= $3,362,000K ÷ $615,000K
= 5.47
The receivables turnover ratio of MKS Instruments Inc has exhibited fluctuations over the past few years. The ratio indicates how efficiently the company is able to collect its accounts receivable during a specific period.
From March 31, 2020, to September 30, 2021, the receivables turnover ratio showed a generally increasing trend, reaching a peak of 6.61 on December 31, 2021. This suggests that MKS Instruments was able to convert its accounts receivable into cash more frequently during this period.
However, from March 31, 2022, to September 30, 2024, the ratio experienced some decline, dropping to a low of 4.29 on September 30, 2022. This decrease may indicate challenges with collecting receivables efficiently or changes in the company's credit policies.
Overall, the average receivables turnover ratio for MKS Instruments Inc over the period under review appears to be moderate, reflecting the company's ability to manage its accounts receivable effectively. It is essential for the company to closely monitor this ratio to ensure timely collection of outstanding payments and maintain healthy cash flows.
Peer comparison
Dec 31, 2024