Xcel Brands(Xelb) 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 XELB 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', XELB's receivables turnover was 4.96, showing efficiency in collecting outstanding receivables. Industry average for Multi-Sector Companies in '2021' stood at 4.39.
• In '2022', XELB's receivables turnover was 4.04, showing efficiency in collecting outstanding receivables. The decline from '2021' may indicate some operational or financial challenges. Industry average for Multi-Sector Companies in '2022' stood at 3.50. Industry average declined by 0.89 from previous year.
• In '2023', XELB's receivables turnover was 4.15, showing efficiency in collecting outstanding receivables. The increase since '2022' reflects strengthening financial performance. Industry average for Multi-Sector Companies in '2023' stood at 2.03. Industry average declined by 1.47 from previous year.
• In '2024', XELB's receivables turnover was 2.89, showing efficiency in collecting outstanding receivables. The decline from '2023' may indicate some operational or financial challenges. Industry average for Multi-Sector Companies in '2024' stood at 2.30. Industry average increased by 0.27 compared to previous year.
Overall, XELB'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.