Vontier Corp (VNT)
Receivables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,970,600 | 3,081,000 | 3,083,800 | 2,921,100 | 2,671,300 |
| Receivables | US$ in thousands | 631,100 | 601,200 | 610,200 | 571,800 | 539,100 |
| Receivables turnover | 4.71 | 5.12 | 5.05 | 5.11 | 4.96 |
December 31, 2024 calculation
Receivables turnover = Revenue ÷ Receivables
= $2,970,600K ÷ $631,100K
= 4.71
The receivables turnover ratio for Vontier Corp has shown relative stability over the past five years. The ratio increased from 4.96 in December 31, 2020, to 5.12 in December 31, 2023, reflecting an improvement in the company's efficiency in collecting its accounts receivable. However, there was a slight decrease to 4.71 by December 31, 2024.
Overall, the company's receivables turnover indicates that, on average, Vontier Corp is able to collect its outstanding receivables approximately 5 times per year. This suggests that the company has been effective in managing its credit policies and maintaining a healthy accounts receivable collection process. Further investigation into the reasons behind the slight decrease in 2024 may provide insights into any changes in the company's customer base or sales patterns.
Peer comparison
Dec 31, 2024