SPX Corp (SPXC)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,713,100 | 1,450,500 | 1,205,300 | 1,542,400 | 1,502,300 |
| Receivables | US$ in thousands | 279,800 | 263,500 | 232,100 | 299,100 | 288,900 |
| Receivables turnover | 6.12 | 5.50 | 5.19 | 5.16 | 5.20 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $1,713,100K ÷ $279,800K
= 6.12
The receivables turnover ratio for SPX Corp has exhibited a generally increasing trend over the past five years. In 2023, the ratio reached 6.12, demonstrating an improvement compared to the previous years. This indicates that, on average, SPX Corp collected its accounts receivable approximately 6.12 times during the year.
A higher receivables turnover ratio suggests that the company is more efficient in collecting payments from customers and converting credit sales into cash. It can also indicate a shorter average collection period, which is favorable for cash flow management.
Overall, the increasing trend in receivables turnover for SPX Corp reflects a positive aspect of its accounts receivable management and liquidity position. Further analysis in conjunction with other financial metrics would provide a more comprehensive assessment of the company's financial performance and efficiency in managing its receivables.
Peer comparison
Dec 31, 2023