Pegasystems Inc (PEGA)
Receivables turnover
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Revenue | US$ in thousands | 1,497,180 | 1,432,620 | 1,317,840 | 1,211,650 | 1,017,520 |
Receivables | US$ in thousands | 552,898 | 558,594 | 468,869 | 421,961 | 536,260 |
Receivables turnover | 2.71 | 2.56 | 2.81 | 2.87 | 1.90 |
December 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $1,497,180K ÷ $552,898K
= 2.71
The receivables turnover ratio for Pegasystems Inc. exhibited fluctuations over the period from December 31, 2020, to December 31, 2024. At the end of 2020, the ratio was 1.90, indicating that the company's accounts receivable were collected approximately 1.9 times during that fiscal year. By the end of 2021, the receivables turnover increased significantly to 2.87, suggesting an improvement in the efficiency of receivables collection processes. In 2022, the ratio slightly declined to 2.81, reflecting a marginal reduction in collection efficiency but remaining relatively steady compared to the previous year.
Moving into 2023, the ratio decreased further to 2.56, indicating a slowdown in receivables collection relative to the previous years. This decline, however, was partially offset by an increase to 2.71 at the end of 2024, suggesting a modest recovery in collection efficiency. Overall, the trend depicts an initial significant improvement from 2020 to 2021, followed by a period of relative stabilization in 2022 and 2023, with a slight uptick in 2024. This pattern may reflect changes in credit policies, customer payment behavior, or other operational factors influencing receivables management within the company.
Peer comparison
Dec 31, 2024