Name: Receivables Turnover

Definition: Receivables turnover tells you how quickly the company collects payments from customers after making sales on credit. A high turnover means customers pay on time and cash flows smoothly. Slow turnover suggests delayed collections, which can create cash shortages and financing stress.

Interpretation:
• In '2020', BCV's receivables turnover was 19.93, showing efficiency in collecting outstanding receivables. Industry average for Finance/Investors Services in '2020' stood at 1.42.
• In '2021', BCV's receivables turnover was 44.03, showing efficiency in collecting outstanding receivables. The increase since '2020' reflects strengthening financial performance. Industry average for Finance/Investors Services in '2021' stood at 3.76. Industry average increased by 2.34 compared to previous year.
• In '2022', BCV's receivables turnover was -72.67, showing efficiency in collecting outstanding receivables. The decline from '2021' may indicate some operational or financial challenges. Industry average for Finance/Investors Services in '2022' stood at -2.23. Industry average declined by 5.99 from previous year.
• In '2024', BCV's receivables turnover was 7.81, showing efficiency in collecting outstanding receivables. The increase since '2022' reflects strengthening financial performance. Industry average for Finance/Investors Services in '2024' stood at 4.03. Industry average increased by 6.26 compared to previous year.
Overall, BCV's receivables turnover has been volatile but showed a downward trend over the past 4 years.

Formula: Receivables Turnover = Net Credit Sales / Average Accounts Receivable

Good Range: Ranges 5 to 15 depending on credit terms.