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', FRA's receivables turnover was 3.72, showing efficiency in collecting outstanding receivables. Industry average for Investment Bankers/Brokers/Service in '2021' stood at 3.18.
• In '2022', FRA's receivables turnover was -1.00, showing efficiency in collecting outstanding receivables. The decline from '2021' may indicate some operational or financial challenges. Industry average for Investment Bankers/Brokers/Service in '2022' stood at 0.60. Industry average declined by 2.59 from previous year.
• In '2023', FRA's receivables turnover was 6.47, showing efficiency in collecting outstanding receivables. The increase since '2022' reflects strengthening financial performance. Industry average for Investment Bankers/Brokers/Service in '2023' stood at 1.81. Industry average increased by 1.21 compared to previous year.
• In '2024', FRA's receivables turnover was 3.56, showing efficiency in collecting outstanding receivables. The decline from '2023' may indicate some operational or financial challenges. Industry average for Investment Bankers/Brokers/Service in '2024' stood at 2.26. Industry average increased by 0.45 compared to previous year.
Overall, FRA'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.