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Merck (MRK) Accounts Receivable : $11,381 Mil (As of Sep. 2024)


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What is Merck Accounts Receivable?

Accounts Receivable are created when a customer has received a product but has not yet paid for that product. Merck's accounts receivables for the quarter that ended in Sep. 2024 was $11,381 Mil.

Accounts receivable can be measured by Days Sales Outstanding. Merck's Days Sales Outstanding for the quarter that ended in Sep. 2024 was 62.35.

In Ben Graham's calculation of Net-Net Working Capital, accounts receivable are only considered to be worth 75% of book value. Merck's Net-Net Working Capital per share for the quarter that ended in Sep. 2024 was $-18.47.


Merck Accounts Receivable Historical Data

The historical data trend for Merck'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.

Merck Accounts Receivable Chart

Merck Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Accounts Receivable
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6,778.00 6,803.00 9,230.00 9,450.00 10,349.00

Merck Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 10,394.00 10,349.00 11,366.00 11,642.00 11,381.00

Merck Accounts Receivable Calculation

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


Merck 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.

Merck's Days Sales Outstanding for the quarter that ended in Sep. 2024 is calculated as:

Days Sales Outstanding
=Accounts Receivable/Revenue*Days in Period
=11381/16657*91
=62.35

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

Merck's Net-Net Working Capital Per Share for the quarter that ended in Sep. 2024 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)
=(14593+0.75 * 11381+0.5 * 6244-72972
-0-58)/2532.03
=-18.47

* 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.


Merck Accounts Receivable Related Terms

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Merck Business Description

Address
126 East Lincoln Avenue, Rahway, NJ, USA, 07065
Merck makes pharmaceutical products to treat several conditions in a number of therapeutic areas, including cardiometabolic disease, cancer, and infections. Within cancer, the firm's immuno-oncology platform is growing as a major contributor to overall sales. The company also has a substantial vaccine business, with treatments to prevent pediatric diseases as well as human papillomavirus, or HPV. Additionally, Merck sells animal health-related drugs. From a geographical perspective, just under half of the company's sales are generated in the United States.
Executives
Robert M Davis officer: Evp, Global Svcs & CFO 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Caroline Litchfield officer: EVP & CFO 2000 GALLOPING HILL RD, KENILWORTH NJ 07033
Joseph Romanelli officer: President, Human Health Int?l 126 EAST LINCOLN AVENUE, RAHWAY NJ 07065
Dean Y Li officer: Executive VP & President, MRL 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
David Michael Williams officer: EVP,Chief Info&Digital Officer MERCK & CO., INC., 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Johannes Jacobus Oosthuizen officer: SVP, U.S. Market 2000 GALLOPING HILL RD, KENILWORTH NJ 07033
Richard R. Deluca officer: EVP&Pres, Merck Animal Heallth 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Steven Mizell officer: EVP,Human Resources 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Rita A Karachun officer: Sr. VP Fince-Global Controller 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Jennifer Zachary officer: EVP, General Counsel 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Sanat Chattopadhyay officer: Exe V-P & Pres. MMD 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Kenneth C Frazier officer: Chairman, President & CEO 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Chirfi Guindo officer: Chief Marketing Officer C/O BIOGEN INC., 225 BINNEY ST., CAMBRIDGE MA 02142
Baker Douglas M Jr director 370 WBASHA ST NORTH, ST PAUL MN 55102
Arpa Garay officer: SVP Human Health Global Mktg. 2000 GALLOPING HILL RD, KENILWORTH NJ 07033