Phoenix Asia Ordinary Shares(Phoe) 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 PHOE 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 '2023', PHOE's receivables turnover was 2.21, showing efficiency in collecting outstanding receivables. Industry average for Engineering & Construction in '2023' stood at 4.30.
• In '2024', PHOE's receivables turnover was 3.22, showing efficiency in collecting outstanding receivables. The increase since '2023' reflects strengthening financial performance. Industry average for Engineering & Construction in '2024' stood at 4.02. Industry average declined by 0.28 from previous year.
Overall, PHOE's receivables turnover has been volatile but showed an upward trend over the past 2 years.
Formula: Receivables Turnover = Net Credit Sales / Average Accounts Receivable
Good Range: Ranges 5 to 15 depending on credit terms.