The Receivables Turnover ratio measures the number of times, on average, receivables (money owed by customers) is collected during a reporting period. While it is best calculated by dividing sales by average accounts receivable, we have used total sales since many companies do not disclose how much of the sales were made on credit. The Receivables Turnover ratio is measured on a TTM basis.
The Receivables Turnover ratio, also known as the Accounts Receivable Turnover Ratio or the Debtor’s Turnover Ratio, can be used to determine whether the company is having trouble collecting the cash it provided customers on credit. A high ratio indicates that a company is able to collect its receivables in a timely manner, whereas a low ratio would imply it has difficulties collecting its receivables.
The formula is: Total Sales / Average Accounts Receivable
| Ticker | Name | Recs Turnover | StockRank™ |
|---|---|---|---|
| LON:BRLA | Blackrock Latin American Investment Trust | 18,901.00% | 0 |
| LON:GEMD | Gem Diamonds | 6,099.43% | 54 |
| LON:ANG | Angling Direct | 3,332.94% | 94 |
| LON:TPOU | Third Point Investors | 3,159.14% | 48 |
| LON:LIV | Livermore Investments | 2,172.88% | 86 |