Cno Financial(Cno) Financials: Receivables Turnover Compared To Industry Average, Plus Other Key Ratios
Growth Trend (Last 5 Years)
Growth - receivables turnover
This chart shows the historical trend of receivables turnover for CNO compared to its industry average over the recent years.
Ratio Definition and Interpretation
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 '2021', CNO's receivables turnover was 0.92, showing efficiency in collecting outstanding receivables. Industry average for Accident &Health Insurance in '2021' stood at 3.23.
• In '2022', CNO's receivables turnover was 0.73, showing efficiency in collecting outstanding receivables. The decline from '2021' may indicate some operational or financial challenges. Industry average for Accident &Health Insurance in '2022' stood at 1.01. Industry average declined by 2.22 from previous year.
• In '2023', CNO's receivables turnover was 0.81, showing efficiency in collecting outstanding receivables. The increase since '2022' reflects strengthening financial performance. Industry average for Accident &Health Insurance in '2023' stood at 0.83. Industry average declined by 0.18 from previous year.
• In '2024', CNO's receivables turnover was 0.92, showing efficiency in collecting outstanding receivables. The increase since '2023' reflects strengthening financial performance. Industry average for Accident &Health Insurance in '2024' stood at 0.95. Industry average increased by 0.12 compared to previous year.
Overall, CNO's receivables turnover has remained generally stable over the past 4 years.
Formula: Receivables Turnover = Net Credit Sales / Average Accounts Receivable
Good Range: Ranges 5 to 15 depending on credit terms.