Management Consulting Group (LSE:MMC) Accounts Receivable: £2.77 Mil (As of Dec. 2019)

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What is Management Consulting Group Accounts Receivable?

Management Consulting Group LSE:MMC -30.09% Accounts Receivable is £2.77 Mil as of Dec. 2019. The stock has 3 warning signs investors should review.

Accounts Receivable are created when a customer has received a product but has not yet paid for that product. Management Consulting Group's accounts receivables for the quarter that ended in Dec. 2019 was £2.77 Mil.

Accounts receivable can be measured by Days Sales Outstanding. Management Consulting Group's Days Sales Outstanding for the quarter that ended in Dec. 2019 was 31.72.

In Ben Graham's calculation of Net-Net Working Capital, accounts receivable are only considered to be worth 75% of book value. Management Consulting Group's Net-Net Working Capital per share for the quarter that ended in Dec. 2019 was £-0.01.

Management Consulting Group 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.

Management Consulting Group's Days Sales Outstanding for the quarter that ended in Dec. 2019 is calculated as:

Days Sales Outstanding
=Accounts Receivable/Revenue*Days in Period
=2.772/15.949*91
=31.72

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

Management Consulting Group's Net-Net Working Capital Per Share for the quarter that ended in Dec. 2019 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)
=(11.667+0.75 * 2.772+0.5 * 0-23.642
-0-0)/1519.000
=-0.01

* 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.

Management Consulting Group Accounts Receivable Related Terms

Management Consulting Group Accounts Receivable Historical Data

* Premium members only.

The historical data trend for Management Consulting Group'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.

Management Consulting Group Accounts Receivable Chart

Management Consulting Group Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
Accounts Receivable
Get a 7-Day Free Trial Premium Member Only Premium Member Only 16.71 3.06 1.77 3.24 2.77

Management Consulting Group Semi-Annual Data
Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19
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 1.77 5.73 3.24 6.55 2.77

Management Consulting Group Accounts Receivable Calculation

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

Frequently Asked Questions Learn more about Accounts Receivable →
What does a Accounts Receivable of £2.77 Mil mean?
Management Consulting Group (LSE:MMC) has a Accounts Receivable of £2.77 Mil as of Dec. 2019. Accounts receivable is the amount a company expects to receive from credit-extending customers. View historical data on Management Consulting Group and its competitors.
Is Management Consulting Group's Accounts Receivable too high?
Management Consulting Group's current Accounts Receivable is £2.77 Mil.
How does Management Consulting Group's Accounts Receivable compare to INFO and VRSK?
Management Consulting Group's Accounts Receivable of £2.77 Mil can be compared against companies in the Business Services industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Accounts Receivable for a Business Services company?
A good Accounts Receivable depends on the Business Services industry context. However, Accounts Receivable should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Accounts Receivable mean?
A high Accounts Receivable can signal that a stock is expensive relative to its fundamentals. Accounts receivable is the amount a company expects to receive from credit-extending customers. View historical data on Management Consulting Group and its competitors. Management Consulting Group's current Accounts Receivable is £2.77 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Management Consulting Group stock overvalued right now?
Based on GuruFocus' analysis, Management Consulting Group (LSE:MMC) is currently considered Possible Value Trap. The current Accounts Receivable is £2.77 Mil. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Accounts Receivable calculated?
Accounts Receivable is calculated from a company's financial statements. For Management Consulting Group (LSE:MMC), the current Accounts Receivable is £2.77 Mil as of Dec. 2019. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Management Consulting Group Business Description

Address 10 Warwick Lane, St. Paul’s House, 4th Floor, London, GBR, EC4M 7BP
Management Consulting Group PLC is engaged in providing professional services to various industries and sectors via the Proudfoot practice. Proudfoot, which is a professional service practice designs, implements and accelerates the operational transformation that realizes tomorrow's results today. The company serves various industries including manufacturing, natural resources, consumer packaged goods, transportation, automotive, building materials and heavy industry. It also provides market-specific local customization for Financial Services and Healthcare sectors. The company provides its services in the Americas, Europe among other regions, and generates a vast majority of its revenue from Europe.