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Aggreko (LSE:AGK) Accounts Receivable : £274 Mil (As of Dec. 2020)


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What is Aggreko Accounts Receivable?

Accounts Receivable are created when a customer has received a product but has not yet paid for that product. Aggreko's accounts receivables for the quarter that ended in Dec. 2020 was £274 Mil.

Accounts receivable can be measured by Days Sales Outstanding. Aggreko's Days Sales Outstanding for the quarter that ended in Dec. 2020 was 71.64.

In Ben Graham's calculation of Net-Net Working Capital, accounts receivable are only considered to be worth 75% of book value. Aggreko's Net-Net Working Capital per share for the quarter that ended in Dec. 2020 was £-2.36.


Aggreko Accounts Receivable Historical Data

The historical data trend for Aggreko's Accounts Receivable can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Aggreko Accounts Receivable Chart

Aggreko Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Accounts Receivable
Get a 7-Day Free Trial Premium Member Only Premium Member Only 454.00 490.00 502.00 444.00 274.00

Aggreko Semi-Annual Data
Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20
Accounts Receivable Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 502.00 498.00 444.00 307.00 274.00

Aggreko Accounts Receivable Calculation

Accounts Receivable is money owed to a business by customers and shown on its Balance Sheet as an asset.


Aggreko Accounts Receivable Explanation

1. Accounts Receivable are created when a customer has received a product but has not yet paid for that product. Days Sales Outstanding measures of the average number of days that a company takes to collect revenue after a sale has been made. It is a financial ratio that illustrates how well a company's accounts receivables are being managed.

Aggreko's Days Sales Outstanding for the quarter that ended in Dec. 2020 is calculated as:

Days Sales Outstanding
=Accounts Receivable/Revenue*Days in Period
=274/698*91
=71.64

2. In Ben Graham's calculation of Net-Net Working Capital (NNWC), Aggreko's accounts receivable are only considered to be worth 75% of book value:

Aggreko's Net-Net Working Capital Per Share for the quarter that ended in Dec. 2020 is calculated as:

Net-Net Working Capital Per Share
=(Cash And Cash Equivalents+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(107+0.75 * 274+0.5 * 182-1007
-0-0)/256.128
=-2.36

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net receivables tells us a great deal about the different competitors in the same industry. In competitive industries, some attempt to gain advantage by offering better credit terms, causing increase in sales and receivables.

If company consistently shows lower % Net receivables to gross sales than competitors, then it usually has some kind of competitive advantage which requires further digging.

Average Days Sales Outstanding is a good indicator for measuring a company's sales channel and customers. A company may book great revenue and earnings growth but never receive payment from their customers. This may force a write-off in the future and depress future earnings.


Aggreko Accounts Receivable Related Terms

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Aggreko (LSE:AGK) Business Description

Traded in Other Exchanges
N/A
Address
120 Bothwell Street, 8th Floor, Glasgow, GBR, G2 7JS
Aggreko PLC is a provider of cooling and heating rental equipment. The company operates two business units: rental solutions and power solutions. Rental solutions offer power, heating, and cooling equipment to customers in developed markets on a rental basis. Power solutions, the slightly larger business unit by revenue, operates in emerging markets and serves industrial and utility customers with large and complex solutions to their power requirements. Aggreko serves customers in utilities, oil and gas, mining, events, petrochemical and refining, manufacturing, and other sectors worldwide. The company generates the lion's share of its revenue in North America, followed by Africa, Asia, and the Middle East.

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