Ingevity Corp (NGVT)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,595,100 | 1,604,200 | 1,337,300 | 1,174,800 | 1,238,100 |
| Receivables | US$ in thousands | 4,700 | 4,900 | 600 | 151,600 | 154,500 |
| Receivables turnover | 339.38 | 327.39 | 2,228.83 | 7.75 | 8.01 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $1,595,100K ÷ $4,700K
= 339.38
Ingevity Corp's receivables turnover ratio has exhibited fluctuations over the past five years. The ratio stood at 9.30 in 2023, marking an improvement from 7.42 in 2022, but remained relatively high compared to the prior years. This suggests that the company collected its accounts receivable approximately 9.30 times during the 2023 fiscal year. A higher turnover ratio generally indicates more efficient management of receivables, as the company is able to convert outstanding receivables into cash more frequently. However, the trend in Ingevity Corp's receivables turnover over the years should be further analyzed in conjunction with other financial metrics and industry benchmarks to assess the effectiveness of the company's credit and collection policies and overall financial health.
Peer comparison
Dec 31, 2023