Big Tree Cloud Ordinary Shares(Dsy) Financials: Receivables Turnover Compared To Industry Average, Plus Other Key Ratios

Report Profitability Growth Liquidity Solvency Valuation

fixed asset turnover inventory turnover payables turnover receivables turnover total asset turnover working capital turnover

Growth Trend (Last 5 Years)

Growth - receivables turnover

This chart shows the historical trend of receivables turnover for DSY 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 '2022', DSY's receivables turnover was 2.07, showing efficiency in collecting outstanding receivables. Industry average for Containers/Packaging in '2022' stood at 5.84.
• In '2023', DSY's receivables turnover was 5.58, showing efficiency in collecting outstanding receivables. The increase since '2022' reflects strengthening financial performance. Industry average for Containers/Packaging in '2023' stood at 6.51. Industry average increased by 0.67 compared to previous year.
• In '2024', DSY's receivables turnover was 8.40, showing efficiency in collecting outstanding receivables. The increase since '2023' reflects strengthening financial performance. Industry average for Containers/Packaging in '2024' stood at 7.02. Industry average increased by 0.52 compared to previous year.
Overall, DSY's receivables turnover has been volatile but showed an upward trend over the past 3 years.

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

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