Let's sort it out index asset turnover. The coefficient belongs to the group of financial indicators “Turnover (business activity)”. The other three groups of financial indicators are “Liquidity”, “Profitability”, “Financial stability”. Liquidity and financial stability ratios show the solvency of the enterprise, and profitability shows its effectiveness. Turnover ratios show the intensity (turnover rate) of using assets or liabilities. They determine how the enterprise actively conducts its activities.

. Economic sense

First, let's define the economic meaning of the coefficient. The asset turnover ratio reflects how the company uses (how intensively) its existing assets. The coefficient determines the efficiency of using own funds (both own and borrowed) in the production and sale of products.

This coefficient should be read as follows. For example, the asset turnover ratio is 4 (the analyzed period is one year). Based on this, we can conclude that the company received revenue for the year (in total) that is 4 times the value of its assets. They say that the company's assets turn over 4 times a year.

The higher the value of this indicator, the more efficiently the enterprise operates. The asset turnover ratio is directly proportional to sales volume (in the formula it has “Revenue” in the numerator). An increase in this ratio indicates that sales have also increased. The lower the turnover, the greater the dependence of the enterprise in financing its production process. The table below shows the reasons for the change in the indicator.

Asset turnover ratio. Synonyms

This coefficient is often called differently in different economic literature. To avoid confusion in its interpretation, we present the most commonly used synonyms for asset turnover:

• Resource efficiency,
• Capital productivity indicator,
• Asset turnover ratio
• Total assets turnover,
• Turnover ratio
• Asset management ratio.

Asset turnover ratio. Calculation formula

The formula for calculating asset turnover is as follows:

According to the balance sheet forms, the indicator is calculated using the formula:

Asset turnover ratio = line 2110/(line 1600ng.+line 1600kg/2)

Ng. – line value 1600 at the beginning of the year.
Kg. – line value 1600 at the end of the year.

Don't forget to also divide by 2 to find the average asset value for the year. The reporting period may not be a year, but a month.

Asset turnover period

The asset turnover ratio can be easily transformed into an indicator asset turnover period. This indicator better reflects the efficiency of asset use and represents the number of days required to convert assets into money supply. Formula for calculating the asset turnover period (one turnover):

Asset turnover period = 360/Asset turnover ratio

Video lesson: “Calculation of key turnover ratios for OJSC Gazprom”

Asset turnover ratio. Calculation using the example of Megafon OJSC

Calculation of asset turnover for OJSC Megafon. Balance

Calculation of asset turnover for OJSC Megafon. Gains and losses report

To calculate the indicator, you need to take balance sheet data from the official website of Megafon OJSC.

Asset turnover ratio 2014-1 = 68316/(449985+466559)/2 = 0.14
Asset turnover ratio 2014-2 = 139153/(466559+458365)/2 = 0.30
Asset turnover ratio 2014-3 = 213539/(458365+413815)/2 = 0.48

Remember to take the average of assets over the period. Therefore, we divided by 2 in the denominator the amount of assets at the beginning of the period and at the end. OJSC Megafon's asset turnover ratio increased. We can conclude that the company increased its sales, since it is sales that directly affect this ratio.

Asset turnover ratio. Standard

The coefficient does not have a specific standard value. It is worth analyzing it, like all turnover indicators: in dynamics. Therefore, if there is a downward trend - inefficient use of assets, and similarly, vice versa, with increasing growth - an increase in the quality of asset management.

In reality, when evaluating enterprises in high-tech and capital-intensive industries, this coefficient has small values. This is due to the fact that companies in such industries have large assets. And the coefficient for turnover in trading enterprises will have greater values, since the intensity of cash turnover in such enterprises is higher.

Comparison of asset turnover indicators (AT) and return on assets (ROA)

Let's define the difference between asset turnover ratio and return on assets (ROA). The ROA formula is given below:

Return on assets ratio = Net profit/Assets = line 2400/line 1600

The efficiency of using working capital is characterized by a system of economic indicators, and, above all, the turnover of working capital and the duration of one turnover. The turnover of working capital refers to the duration of the complete circulation of funds from the moment of acquisition of working capital (purchase of raw materials, supplies, etc.) to the release and sale of finished products. The circulation of working capital is completed by crediting the proceeds to the company's account.

The turnover of working capital at an enterprise depends on the following factors:

duration of the production cycle;

quality of products and their competitiveness;

efficiency of working capital management at the enterprise in order to minimize them;

solving the problem of reducing material consumption of products;

method of supplying and marketing products;

working capital structures, etc.

The efficiency of working capital turnover is characterized by the following indicators:

1. Working capital turnover ratio. Shows the number of revolutions that working capital makes during the analyzed period. The higher the turnover ratio, the better the working capital is used.

Cob=N/Esro(1)

Where Cob- working capital turnover ratio;

N- revenues from sales;

EURO- average annual cost of working capital.

Euro = (Start of year + End of year)/2 (2)

Where EURO- average annual cost of working capital;

Start of the year- cost of working capital at the beginning of the year;

End of the year- cost of working capital at the end of the year.

2. Load factor of funds in circulation. It is the inverse of the direct working capital turnover ratio. It characterizes the amount of working capital spent per 1 ruble. sold products. The lower the utilization rate of funds, the more efficiently the working capital is used at the enterprise, and its financial position improves.

Kz = Euro/N x100 (3)

Where Kz- load factor of funds in circulation

N- revenues from sales;

EURO- average annual cost of working capital;

100 - conversion of rubles to kopecks.

3. Coefficient of duration of one turnover of working capital. It shows how long it takes for the company to return its working capital in the form of revenue from sales of products. A decrease in the duration of one revolution indicates an improvement in the use of working capital.

TE = T/Kob (4)

Where THOSE- duration of the 1st turnover of working capital;

T

Cob- turnover ratio;

Comparison of turnover ratios over the years allows us to identify trends in the efficiency of using working capital. If the working capital turnover ratio has increased or remained stable, then the enterprise operates rhythmically and uses financial resources rationally. A decrease in the turnover ratio indicates a decline in the rate of development of the enterprise and its poor financial condition. The turnover of working capital may slow down or accelerate. As a result of accelerating turnover, that is, reducing the time it takes working capital to pass through individual stages and the entire circuit, the need for these funds is reduced. They are being released from circulation. The slowdown in turnover is accompanied by the involvement of additional funds in the turnover. Relative savings (relative overexpenditure) of working capital is determined by the following formula:

E = Euro-Esrp x(Nreport/N prev) (5)

Where E– relative savings (overexpenditure) of working capital;

E sro- average annual cost of working capital for the reporting period;

E srp- average annual cost of working capital of the previous

Nreport- revenue from sales of the reporting year;

Nbefore- revenue from sales of the previous year.

Relative savings (relative overexpenditure) of working capital:

E = 814 - 970.5x375023/285366 = - 461.41 (thousand rubles) - savings;

The general assessment of working capital turnover is presented in Table 5

Table 5

General assessment of working capital turnover

Conclusion: The general assessment of working capital shows that for the analyzed period:

The duration of the turnover of working capital has improved by 0.44 days compared to the previous period, that is, funds invested in current assets go through a full cycle and again take cash form 0.44 days earlier than in the previous period;

A decrease in the utilization rate of funds in circulation by 0.13 indicates that working capital has become more efficiently used at the enterprise compared to last year, i.e. financial situation improves;

An increase in the turnover ratio by 166.66 indicates better use of working capital;

The acceleration of turnover of working capital led to their release from circulation in the amount of 461.41 thousand rubles.

Accounts receivable is the amount of debts owed to an enterprise or organization from legal entities and individuals. The most general recommendations for managing accounts receivable are:

Monitor the status of settlements with customers for deferred (overdue) debts;

If possible, target a larger number of buyers in order to reduce the risk of non-payment by one or more large buyers;

Monitor the status of accounts receivable and accounts payable - a significant excess of accounts receivable poses a threat to the financial stability of the enterprise and makes it necessary to attract additional sources of financing.

The information base for the analysis of receivables is the official financial statements: accounting report - form No. 1 (section "Current assets"), form No. 5 "Appendix to the balance sheet" (section "Receivables and payables" and references thereto).

For accounts receivable, as well as for working capital, in general, the concept of “turnover” is used. Turnover is characterized by a group of coefficients. To assess accounts receivable turnover, the following indicators are used:

1. Accounts receivable turnover ratio.

Shows how effectively the company organized the collection of payments for its products. A decrease in this indicator may signal an increase in the number of insolvent customers and other sales problems.

Cobd =N/Esrd (6)

Where N- revenues from sales;

Cobd

Esrd- average annual value of accounts receivable.

2. Period of repayment of receivables.

This is the length of time required for the enterprise to collect debts for sold products. It is defined as the reciprocal of the accounts receivable turnover ratio and multiplied by the period.

TEDz = T/Kob (7)

Where TEDz- duration of the 1st turnover of working capital;

T- duration of the 1st period (360 days);

Cobd- Accounts receivable turnover ratio.

3. Share of receivables in the total volume of current assets. Shows what share receivables occupy in the total amount of current assets. An increase in this indicator indicates an outflow of funds from circulation.

Ddz = Edzkon/TAkon x 100% (8)

Where Jedzkon- accounts receivable at the end of the year;

TAcon- current assets at the end of the year.

Ddz- share of accounts receivable

All calculated data are grouped and listed in table 6.

Table 6

Accounts receivable turnover analysis

Conclusion: analysis of accounts receivable turnover shows that the state of settlements with customers has improved compared to last year:

The average repayment period for receivables decreased by 1.87 days;

An increase in the accounts receivable turnover ratio by 73.49 turns shows a relative decrease in commercial lending;

The share of accounts receivable in the total volume of working capital decreased by 8.78%, which indicates an increase in the liquidity of current assets, and therefore, a slight improvement in the financial condition of the enterprise.

Inventory management (IPM).

The accumulation of mineral resources has positive and negative sides.

Positive sides:

The fall in the purchasing power of money forces the enterprise to invest temporarily free funds in stocks of materials, which can then be easily sold if necessary;

The accumulation of inventories is often a necessary measure to reduce the risk of non-delivery or under-delivery of raw materials and materials necessary for the production process of the enterprise.

Negative sides:

The accumulation of inventories inevitably leads to an additional outflow of funds due to an increase in costs associated with storing inventories (rental of warehouse premises and their maintenance, costs of moving inventories, insurance, etc.), as well as an increase in costs associated with losses due to obsolescence, damage , theft and uncontrolled use of inventories, due to an increase in the amount of tax paid, and due to the diversion of funds from circulation.

To assess inventory turnover, the following indicators are used:

1. Inventory turnover ratio. Shows the turnover rate of inventories.

Kmpz =S/Esrmpz (9)

Where Esrmpz- average annual cost of inventories; S- cost;

Kmpz- inventory turnover ratio.

The cost price is taken from Form No. 2 - Profit and Loss Statement. The higher this indicator, the less funds are associated with this least liquid item, the more liquid the structure of current assets and the more stable the financial position of the enterprise. It is especially important to increase turnover and reduce inventories if the company has a large debt. In this case, creditor pressure may be felt before anything can be done with the inventory, especially in unfavorable conditions.

2. Shelf life of MPZ.

An increase in this indicator indicates the accumulation of inventories, and a decrease indicates a reduction in inventories. The turnover rates of finished products and inventories, as well as the shelf life of inventories and finished products, are calculated similarly.

Tmpz = T / Kmpz (10)

Where Tmpz- shelf life of MPZ;

T- duration of the 1st period (360 days);

Kmpz- inventory turnover ratio.

An increase in this indicator indicates the accumulation of inventories, and a decrease indicates a reduction in inventories. The turnover rates of finished products and inventories, as well as the shelf life of inventories and finished products, are calculated similarly. Data from the analysis of inventory turnover are presented in table. 7.

Table 7

Analysis of inventory turnover

Conclusion: analysis of inventory turnover shows that during the analyzed period:

The turnover rate of inventories increased by 0.5 revolutions, and the shelf life of inventories decreased by 0.8 days compared to last year. Consequently, the enterprise does not accumulate inventories;

The turnover rate of industrial inventories decreased by 20.8 revolutions, and the shelf life of industrial inventories increased by 1.43 days compared to last year. Consequently, the enterprise is accumulating inventories;

The turnover rate of finished products increased by 2.19 turns, and the shelf life of finished products decreased by 2.15 days. Thus, finished products do not accumulate at the enterprise.

The financial position of an organization is directly dependent on how quickly funds invested in assets are converted into real money.

However, certain types of assets of an organization have different turnover rates. The duration of funds in circulation is determined by the cumulative influence of a number of multidirectional factors of an external and internal nature. The first should include the scope of the organization’s activity, that is, in most cases, the turnover of funds in small enterprises is much higher than in large ones - this is one of the main advantages of a small business, and a number of other reasons.

The economic situation in the country and the associated business conditions of organizations have no less impact on the turnover of an organization’s assets. Thus, the inflationary processes taking place in the country and the lack of established economic relations with suppliers and buyers in most organizations lead to the forced accumulation of inventories, which significantly slows down the process of funds turnover.

Let's consider the reasons for the change in current assets in DMD SLOT ALLOCATION CJSC in 2010 according to Table 2.7.

Table 2.7. - Reasons for changes in current assets in DMD SLOT ALLOCATION CJSC in 2010 (million rubles)

From the table it follows that an increase in current assets by 7 million rubles. occurred due to an increase in own funds by 7 million rubles. The decrease in working capital was caused by a decrease in accounts payable by 7 million rubles.

The most important part of the analysis of the financial condition of an organization is the study of the turnover indicators of the organization’s current assets, which allows us to characterize the effectiveness of their use. The study and analysis of turnover indicators of current assets is important, since the speed of their turnover is directly dependent on such important indicators as the volume of sales of goods, works, services and the profit received by the organization.

Let's analyze the turnover indicators of current assets at DMD SLOT ALLOCATION CJSC for 2009 – 2010. according to table 2.8.

Table 2.8. - Analysis of the turnover of current assets at DMD SLOT ALLOCATION CJSC for 2009 - 2010.

Current assets turnover ratio:

Kob 2009 = 424: 63 = 6.7 (rpm)

Kob 2010 = 522: 70 = 7.4 (rpm)

Inventory turnover ratio:

Kob 2009 = 424: 61 = 6.9 (rpm)

Kob 2010 = 522: 39 = 13.3 (rpm)

Using turnover ratios, we calculate the duration of one revolution:

current assets:

DD 2009 = 360: 6.7 = 48.6 (days)

DD 2010 = 360: 7.4 = 53.7 (days)

material working capital:

DD 2009 = 360: 6.9 = 52.2 (days)

DD 2010 = 360: 13.3 = 27.1 (days)

Using the data obtained, we will calculate the amount of additionally attracted working capital as a result of a slowdown in their turnover:

additional attraction of current assets:

Δ OK = 2.1 x 0.7 = 1.47 (million rubles)

additional attraction of working capital by slowing down their turnover:

Δ OK = 2.1 x 5.1 = 10.7 (million rubles)

In 2010, compared to 2009, revenue from the sale of goods, works, and services increased by 23.1% (522 / 424 x 100%) with an increase in current assets by 11.1% (70 / 63 x 100%) and reduction in material working capital by 36.1% (39 / 61 x 100%).

The excess of the growth rate of revenue from the sale of goods, works, and services (23.1%) over the growth rate of current assets (11.1%) led to a decrease in the turnover of current assets. And the decrease in the growth rate of tangible current assets (63.9%) compared to the growth rate of sales proceeds (23.1%) led to a slowdown in the turnover of tangible current assets.

The organization must identify the reasons for the slowdown in the turnover of tangible current assets in order to eliminate these reasons in the next reporting period.

The most important component of an enterprise's financial resources is its current assets.

Unlike fixed assets, working capital is entirely consumed in each production process, completely transfers its value to the finished product and changes its natural form.

CLASSIFICATION OF CURRENT ASSETS

1. Inventories: raw materials, basic materials; purchased semi-finished products; auxiliary materials; fuel; containers and packaging materials; spare parts for routine repairs; low-value and wear-out household equipment and tools, work in progress; costs for the development of new products, semi-finished products of own production.

2. Cash: funds in current and foreign currency accounts, in the cash register, etc.

3. Short-term financial investments: securities, short-term loans, etc.

4. Accounts receivable: debt from buyers and customers, subsidiaries and affiliates, bills of exchange, etc.

Every industrial enterprise must improve the use of working capital. The successful implementation of the enterprise’s production cycle depends on the state of current assets, because The lack of working capital slows down the activity of the enterprise and leads to the inability to pay its bills and to bankruptcy.

To assess the use of working capital, two indicators are used:

1) duration of one revolution in days

H = T 1 + T 2 + T 3,

where T 1 is the procurement cycle (purchase and delivery of materials, fuel, etc.); T 2 - manufacturing cycle; T 3 - product sales cycle;

2) the number of revolutions during the planned period. or the turnover ratio, which characterizes the output of 1 ruble. working capital:

To ob. = T/N

where T is the duration of the planning period, days.

The shorter the duration of one revolution, the more revolutions the working capital will make. By accelerating the turnover of working capital, the need for them is reduced and a reserve is created to increase production output.

To speed up the turnover of working capital, it is necessary to reduce the time they spend both in the sphere of production and in the sphere of circulation. To do this, it is necessary to: reduce the processing and assembly time of products through mechanization and automation of the production process; improve the use of new technology; speed up control and transportation of products during processing; reduce stocks of materials, fuel, packaging, work in progress to the established standard; ensure the rhythmic operation of all production areas and workshops of the enterprise, timely delivery of materials to the enterprise and workplaces; speed up the shipment of finished products; timely and quickly make payments to consumers; improve product quality, prevent the return of finished products from consumers, etc.

Analysis of turnover of current assets includes analysis of:

1. turnover of enterprise assets;

2. accounts receivable turnover;

3. inventory turnover.

1. Analysis of enterprise asset turnover.

The financial position of an enterprise is directly dependent on how quickly funds invested in assets are converted into real money.

In general, the rate of turnover of an enterprise’s assets is usually calculated using the formula:

This indicator characterizes the turnover rate of the company's current assets.

Accordingly, the turnover of current assets will be determined as:

The average value of assets according to the balance sheet is determined by the formula:

where He, Ok - the value of assets at the beginning and at the end of the period.

Then the duration of one revolution in days is determined:

where asset turnover is numerically equal to the current asset turnover ratio.

If the duration of turnover of current assets increases, then to continue production and commercial activities at least at the same level, additional attraction of funds into circulation is necessary, which is calculated by the formula:

This indicator characterizes the additional attraction of funds into circulation caused by the slowdown (acceleration) of asset turnover.

Of particular importance for the stable operation of an enterprise is the speed of cash flow. One of the main conditions for the financial well-being of an enterprise is the influx of cash to cover its current obligations.

One way to assess cash adequacy is to determine the duration of the turnover period. For this purpose the formula is used:

To calculate average cash balances, internal accounting data are used (ODn - balances at the beginning of the nth month) and the formula:

where n is the number of months in the period.

In order to reveal the real cash flow in the enterprise, assess the synchronicity of the receipt and expenditure of funds, and also link the value of the obtained financial result with the state of funds in the enterprise, it is necessary to identify and analyze all directions of receipt (inflow) of funds, as well as their disposals (outflow).

The indicated directions of cash flow are usually considered separately in the context of current, investment and financial activities.

The influx of cash within the framework of current activities is associated with the receipt of revenue from the sale of products, performance of work and provision of services, as well as advances from buyers and customers; outflow - with payment of bills from suppliers and other counterparties, payment of wages to employees, production contributions to social insurance and security funds, settlements with the budget for taxes due. It is also customary to include paid (received) interest on loans as current activities.

Cash flow in the context of investment activities is associated with the acquisition (sale) of property that has long-term use (primarily the receipt (disposal) of fixed assets and intangible assets).

The financial activities of the enterprise are mainly associated with the influx of funds due to the receipt of long-term and short-term loans and borrowings and their outflow in the form of payment of dividends and repayment of debt on previously received loans.

Cash flow analysis is carried out using direct and indirect methods.

The direct method has a drawback: it does not reveal the relationship between the obtained financial result and changes in the amount of funds in the accounts of the enterprise (the enterprise receives net profit, and its funds are reduced). When analyzing cash flows, the indirect method converts the amount of net profit into the amount of cash, i.e. The shortcoming of the direct method of analysis is corrected.

Unlike other approaches to assessing financial condition, cash flow analysis makes it possible to draw more informed conclusions about the volume and from what sources the funds received by the enterprise were received and what are the main directions of their use; whether the enterprise’s own funds are sufficient to carry out investment activities; what explains the discrepancies in the amount of profit received and the availability of funds, etc.

2. Analysis of accounts receivable.

To assess accounts receivable turnover, the following group of indicators is used.

1. Accounts receivable turnover.

If during the year the amount of sales revenue changed significantly by month, then a refined method for calculating the average amount of receivables is used, based on monthly data. Then:

where ODZn is the amount of accounts receivable at the end of the nth month.

2. Receivables repayment period.

It should be borne in mind that the longer the period of overdue debt, the higher the risk of non-repayment.

3. The share of accounts receivable in the total volume of current assets.

4. Share of doubtful debts in accounts receivable:

This indicator characterizes the “quality” of receivables. Its upward trend indicates a decrease in liquidity.

Monitor the status of settlements with customers for deferred (overdue) debts;

If possible, target a larger number of buyers in order to reduce the risk of non-payment by one or more large buyers;

Monitor the ratio of receivables and payables: a significant excess of receivables creates a threat to the financial stability of the enterprise and makes it necessary to attract additional (usually expensive) sources of financing;

Use the method of providing discounts for early payment.

3. Analysis of inventory turnover.

The assessment of inventory turnover is carried out for each type of inventory (inventory, finished goods, goods, etc.). Since inventories are accounted for at the cost of their procurement (purchase), to calculate the inventory turnover ratio, it is not sales revenue that is used, but the cost of goods sold. To estimate the rate of inventory turnover, the formula is used:

Wherein:

The shelf life of inventories is determined by the formula:

The indicator characterizes the duration of inventory storage.

Thus, the above indicators make it possible to characterize the state of current assets and their dynamics.

Analysis of asset turnover is an integral component of financial analysis. Asset turnover is perhaps the best way to assess the real efficiency of an enterprise's operating activities (provided, of course, that the reporting fairly reflects its financial position). Often, managers tend to focus primarily on quickly increasing operating profitability (even short-term), because this is what shareholders expect from them, without thinking that controlling expenses and manipulating non-cash reporting items alone will not get you far. Thus, adequate turnover indicators make it possible to assess, among other things, the maturity and presence of a long-term development strategy for the company.

Asset turnover analysis includes:

Note that the features of asset management are determined by the structural affiliation of business entities. If trade organizations have a high share of goods, and industrial enterprises have a high share of raw materials, then financial corporations have a predominant share of cash and cash equivalents.

Asset turnover ratio

Asset turnover ratio (AOR) is the ratio of revenue from product sales to the entire balance sheet asset total.

Koa = B/A

where, B - revenue; A - average annual amount of assets

This indicator characterizes the efficiency of the company’s use of all available resources, regardless of the sources of their formation, i.e. it shows how many times per year (or other reporting period) the full cycle of production and circulation is completed, bringing profit to the company, or how many monetary units of sold products brought each monetary unit of assets.

The asset turnover ratio characterizes the efficiency of resource use; its increase indicates a more efficient use of funds. However, this ratio may be artificially high when switching to the use of leased fixed assets.

The value of the turnover ratio of all assets shows the efficiency of using current assets; an increase in the indicator over time indicates an increase in the efficiency of using current assets throughout the enterprise. The asset turnover ratio is directly proportional to sales volume and inversely proportional to the amount of assets used.

Since current assets are an integral part of assets, their reduction also helps to improve the efficiency of using assets as a whole.

In theory, current assets are the capital invested by a company in its current activities for the period of each operating cycle. We have already considered the main elements of working capital - inventories, accounts receivable - and approaches to analyzing their turnover.

There is a certain relationship between current assets and sales volume. Too small a volume of working capital limits sales, while too much indicates an insufficiently efficient use of working capital. How to determine the optimal ratio of working capital and sales volume? This relation helps to find working capital turnover ratio(Ko).

The working capital turnover ratio is calculated as the ratio of revenue excluding VAT and excise taxes to the average amount of working capital (Avvr) for the period:

Ko = V / OBsr

where, OBSr = (OBSn + OBSk)/2, OBSn, OBSk - respectively, the amount of working capital at the beginning and end of the period.

For each enterprise it is individual and, if it is determined, then it is necessary to maintain its value at the optimal level. Finding it is quite simple - if an enterprise, at a given value of the ratio, constantly resorts to the use of borrowed capital, it means that this working capital turnover rate generates an insufficient amount of cash to cover costs and expand activities. Conversely, if, with a constant sales volume or its increase, the enterprise receives sufficient income, then it is considered that an effective rate of working capital turnover has been achieved.

A better idea of ​​the efficiency of asset use is provided by indicators of the asset turnover period, which is the number of days required to convert them into cash and is the reciprocal of the turnover ratio multiplied by the length of the period. To estimate the duration of one revolution in days, calculate the indicator - duration of one turnover of working capital according to the formula:

To = 360 / Ko or To = 365 / Ko

The value shows how many days later the funds invested in current assets or their components again take cash form. A decrease in this indicator over time is a positive factor.

Considerable attention is paid to current assets due to the fact that current assets mainly determine both the turnover of total capital and the business activity of the enterprise. Such attention to current assets in the analysis process is also due to the fact that they:

1. ensure continuity of the production process;
2. A financial manager can manage and accelerate the turnover of current assets.

Non-current assets are less manageable in terms of accelerating turnover, because are intended for operation for several years, and the service life is regulated by the accounting policy of the enterprise.

The analysis of turnover of current assets is supplemented by the calculation of an indicator called working capital consolidation ratio, which shows how many rubles of working capital are accounted for per ruble of products sold (sold).

Kz = Aob / V

where, Aob is the average amount of current assets for the analyzed period (year).

The values ​​for the components of current assets are calculated similarly.

Analysis of settlements with debtors

To assess the quality of settlements with debtors, use accounts receivable turnover ratio, the value of which characterizes the speed of return of funds for goods sold on credit; an increase in this indicator over time indicates an improvement in work with debtors and the effectiveness of pricing policy.

The turnover ratio and turnover duration are calculated using the formulas:

Ko(DZ) = V / DZsr

where, DZsr is the average amount of receivables for the period

The value associated with accounts receivable turnover is average loan term To(DZ) of buyers (in days), showing how long on average a deferment in payment is provided to buyers.

To(DZ) = 360 / Ko(DZsr) or To(DZ) = DZsr / V * 360

Knowing daily revenue and average accounts receivable balances, it is easy to determine the average customer credit period, which can be useful when negotiating and concluding a contract. Average values ​​of customer lending must be compared with similar values ​​of accounts payable, in particular accounts payable turnover ratio Ko(KZ), and average supplier credit period To(KZ), which are calculated as follows:

Ko(KZ) = S / 0.5(KZ0 + KZ1)

where, S - cost of goods sold; 0.5(KZ0 + KZ1) - average accounts payable for the period.

To(KZ) = 360 / Ko(KZ)

For rational settlements, the payment deferment provided by suppliers should be longer than the average credit period for buyers. If this does not happen, the company will experience tension in the use of working capital. Credit terms are determined by the forms of settlements with suppliers and buyers and can be accelerated when using advances and letters of credit in settlements with buyers and collections with suppliers.

In the process of analysis, it is necessary to pay attention to identifying the relationships between receivables and payables (which we have already written about) in terms of turnover and duration of turnover. The rate of turnover of equity capital is also analyzed, which is especially important for shareholders.

Cash turnover analysis

Cash turnover ratio calculated by the formula:

Co(DS) = V / DS

The value of the indicator shows how many times during the period the funds in the accounts and in the cash register of the organization made turnovers. Duration of cash turnover calculated by the formula:

To(DS) = 360 / Co(DS)

These indicators are used to evaluate the company's business activity in the use of funds.

A decrease in turnover and an increase in the average period of cash turnover indicates an irrational organization of the enterprise’s work, which allows for a slowdown in the use of highly liquid assets, the main purpose of which is to service the production and economic turnover of the enterprise.

Analysis of turnover of tangible current assets

To estimate the level of inventory use, use inventory turnover ratio, which shows how efficiently the company uses inventory, shows the rate of inventory turnover. Inventory turnover shows how many times purchases were made during the reporting period. The inventory turnover ratio is calculated based on the balance sheet and income statement using the following formula:

Co(ZAP) = S / 0.5*(E0+E1)

where, S - cost of goods sold; 0.5*(E0+E1) - average inventories for the period, E0 - inventories at the beginning of the period, E1 - inventories at the end of the period.

When calculating this indicator, it is necessary to take into account the methodology for calculating the cost of goods sold, which may be different for different methods of distributing indirect costs. Determining average inventory balances is necessary to balance inventory data, which may fluctuate significantly during the reporting period.

Closely related to this coefficient average inventory storage time(Tskl), measured in days. It can be calculated by dividing the number of days of the reporting period by Ko (ZAP), while the year is often rounded to 360 days, the quarter to 90 days, and the month to 30 days.

Tskl = 360 / Co(ZAP)

If, for example, the inventory turnover is 6, then the average storage period is 60 days - this is how much, on average, inventories are in the enterprise from the moment they are purchased from suppliers until the moment they are sold. High Co(ZAP) indicators should alert the analyst. On the one hand, they indicate a high turnover rate, which leads to an increase in profits, on the other hand, they characterize the company’s risky policy in inventory management and a possible shortage of inventory as sales grow. High inventory turnover and short storage times can characterize rapid sales growth that is not provided with an adequate level of inventory and insufficient management attention to this issue.

When analyzing, it is preferable to evaluate any financial indicator not from the point of view of its compliance with certain standards, but rather in the context of the real state of affairs in the company. At the same time, it is certainly useful to compare the performance of the organization in question with the performance of its competitors and, in general, with the industry average.

In addition, it is important to understand what is behind each indicator. For example, for a large aviation enterprise with a long production cycle, an inventory turnover of 180 days may be absolutely acceptable, but for a retail chain such a value may indicate serious problems with the sale of goods.

Analysis of indicators of business activity (turnover) of enterprises in the context of the past financial crisis revealed trends such as overstocking, growth in overdue accounts receivable and payable, the emergence (increase) of “bad” debts, etc., which were not previously observed and, in fact, have not been seriously analyzed. At present, when the severity of the economic situation has subsided somewhat, we can say that the turnover of current assets of most companies has stabilized. Nevertheless, it is clear that in the future, analysts should look more closely at these indicators to adequately assess the financial condition of companies.

In conclusion, we note that the duration of funds in the turnover of an enterprise is determined by the combined influence of a number of factors external And internal character.

External factors include:

• the company’s field of activity (production, supply and sales, intermediary, etc.);
• industry affiliation;
• enterprise size.

The macroeconomic situation has a decisive influence on the turnover of an enterprise's assets. The severance of economic ties and inflationary processes lead to the accumulation of reserves, which significantly slows down the process of turnover of funds.

Internal factors include the pricing policy of the enterprise, the formation of the asset structure, and the choice of methodology for valuing inventory.