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', KZIA's receivables turnover was 180.75, showing efficiency in collecting outstanding receivables. Industry average for Biotechnology: Pharmaceutical Preparations in '2021' stood at 2.42.
• In '2022', KZIA's receivables turnover was 0.00, showing efficiency in collecting outstanding receivables. The decline from '2021' may indicate some operational or financial challenges. Industry average for Biotechnology: Pharmaceutical Preparations in '2022' stood at 2.48. Industry average increased by 0.06 compared to previous year.
• In '2023', KZIA's receivables turnover was 0.00, showing efficiency in collecting outstanding receivables. The figure remained stable compared to '2022'. Industry average for Biotechnology: Pharmaceutical Preparations in '2023' stood at 2.34. Industry average declined by 0.14 from previous year.
• In '2024', KZIA's receivables turnover was 19.39, showing efficiency in collecting outstanding receivables. The increase since '2023' reflects strengthening financial performance. Industry average for Biotechnology: Pharmaceutical Preparations in '2024' stood at 2.61. Industry average increased by 0.27 compared to previous year.
Overall, KZIA'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.