Shoe Stores: average industry financial ratios for U.S. listed companies
| Financial ratio | Year | |
|---|---|---|
| 2021 | 2020 | |
| Activity Ratios | ||
| Asset turnover (days) | 255 | 333 |
| Receivables turnover (days) | 4 | 5 |
In this post
What is a good accounts receivable turnover ratio for retail industry?
Receivable Turnover Ratio Screening as of Q2 of 2022
| Ranking | Receivable Turnover Ratio Ranking by Sector | Ratio |
|---|---|---|
| 1 | Retail | 15.08 |
| 2 | Consumer Non Cyclical | 12.43 |
| 3 | Energy | 9.98 |
| 4 | Utilities | 8.34 |
What is the average asset turnover ratio for retail industry?
Asset Turnover Ratio = Net Sales / Average Total Assets
In the retail sector, an asset turnover ratio of 2.5 or more could be considered good, while a company in the utilities sector is more likely to aim for an asset turnover ratio that’s between 0.25 and 0.5.
What is Nike’s average collection period?
In the case of Nike, it takes them 36 days on average to collect their receivables.
What is the industry average for inventory turnover?
between 5 and 10
For most industries, the ideal inventory turnover ratio will be between 5 and 10, meaning the company will sell and restock inventory roughly every one to two months. For industries with perishable goods, such as florists and grocers, the ideal ratio will be higher to prevent inventory losses to spoilage.
What is average accounts receivable turnover ratio?
To calculate the accounts receivable turnover, start by adding the beginning and ending accounts receivable and divide it by 2 to calculate the average accounts receivable for the period. Take that figure and divide it into the net credit sales for the year for the average accounts receivable turnover.
What does a receivables turnover of 7 times represent?
What does an inventory turnover ratio of 7 times represent? The company generates sales equivalent to 7 times its inventory value during the year.
What is a good turnover rate for retail?
Average employee turnover rate in retail
According to the latest BLS report, the average retail employee turnover rate in the United States currently sits at around 60%. That puts the retail industry in the top four behind hospitality (130%), arts and entertainment (127%) and construction (69%).
What is a good turnover ratio?
between 5 and 10
What Is a Good Inventory Turnover Ratio? A good inventory turnover ratio is between 5 and 10 for most industries, which indicates that you sell and restock your inventory every 1-2 months. This ratio strikes a good balance between having enough inventory on hand and not having to reorder too frequently.
Which company has the highest turnover assets ratio?
Industry Screening
| Ranking | Company Ranking | Ratio |
|---|---|---|
| 1 | Adhera Therapeutics Inc. | 8,161.33 |
| 2 | Liaoning Shuiyun Qinghe Rice Industry Co. Ltd. | 2,864.97 |
| 3 | Monument Circle Acquisition Corp. | 58.20 |
| 4 | Heartbeam Inc. | 46.89 |
What is NIKE accounts receivable turnover?
Assets
| Fiscal year is June-May. All values USD Millions. | 2022 | 2019 |
|---|---|---|
| Accounts Receivable Growth | 4.57% | 22.13% |
| Accounts Receivable Turnover | 10.03 | 9.16 |
| Inventories | 8,420 | 5,622 |
| Finished Goods | 8,420 | 5,622 |
What is NIKE’s turnover rate?
NIKE’s latest twelve months inventory turnover is 3.3x. NIKE’s inventory turnover for fiscal years ending May 2018 to 2022 averaged 3.6x. NIKE’s operated at median inventory turnover of 3.5x from fiscal years ending May 2018 to 2022.
What does accounts receivable turnover tell you?
The accounts receivable turnover ratio, or receivables turnover, is used in business accounting to quantify how well companies are managing the credit that they extend to their customers by evaluating how long it takes to collect the outstanding debt throughout the accounting period.
What is a good asset turnover ratio in manufacturing industry?
Broadly, most analysts consider a ratio of above 1.0 to be good.
What is a good accounts receivable turnover in days?
High Accounts Receivable Turnover Ratio
The accounts receivable turnover rate is 10, which means the average accounts receivable is collected in 36.5 days (10% of 365 days). This bodes very well for the cash flow and personal goals in the small doctor’s office.
How do you improve AR turnover?
11 Tips to Improve Your Accounts Receivable Turnover
- Build strong client relationships.
- Invoice accurately, on time, and often.
- Include payment terms.
- Shorten payment terms.
- Provide discounts for early payment.
- Use cloud-based software.
- Make paying invoices easy.
- Do away with having an accounts receivable.
Why is turnover in retail so high?
Relatively low wages
Another common reason for retail employees to leave is money. Money isn’t everything of course, but depending on the (lack of) increase it can be a good reason to resign eventually. Especially in retail, an industry known for its generally not-so-high wages and fierce competition.
What is Walmart’s turnover rate?
In contrast, turnover at Wal-Mart is 44% a year, close to the industry average. In skilled and semi-skilled jobs, the fully loaded cost of replacing a worker who leaves (excluding lost productivity) is typically 1.5 to 2.5 times the worker’s annual salary.
What is Amazon’s turnover rate?
Amazon’s attrition rates were 123 percent in 2019 before jumping to 159 percent in 2020, according to internal data in the report Recode obtained, while turnover rates across the US transportation and warehouse sectors were much lower: 46 percent and 59 percent respectively in 2019 and 2020, according to Bureau of
What is considered a low turnover rate?
Understanding Turnover Ratios
This figure is typically between 0% and 100%, but can be even higher for actively managed funds. A turnover rate of 0% indicates the fund’s holdings have not changed at all in the previous year. A rate of 100% means the fund has a completely new portfolio than it did 12 months ago.
What does a turnover of 6 mean?
An annual inventory turnover ratio between 4 to 6, for instance, is generally considered healthy for ecommerce businesses/retailers. But jewelers, who sell small items with high-profit margins, typically see low inventory turnover, in the 1 to 2 range.