Receivables As A Percentage Of Revenue (Historical) Formula in Excel

Understanding Receivables As A Percentage Of Revenue (Historical)

The Receivables As A Percentage Of Revenue (Historical) formula helps you determine how much of a company’s revenue is tied up in receivables. By comparing receivables to total revenue, you can gauge the efficiency of a business in collecting payments from its customers.

• Purpose: Shows the percentage of receivables per dollar of revenue.
• Use Cases:
  • Assess credit and collection efficiency.
  • Identify potential cash flow issues due to high receivables.
  • Compare companies or track trends over time.
• Key Benefits:
  • Offers a quick snapshot of a company’s liquidity.
  • Useful in ratio analysis for informed investment decisions.

Syntax and Parameters

Use the following syntax in Excel after installing MarketXLS:

=hf_Receivables_as_a_Percentage_of_Revenue(Symbol, Year, [Quarter], [TTM])

Return Value

• Returns a numeric value representing the percentage of receivables per dollar of revenue.
• If invalid inputs or data are unavailable, the function returns "NA".

Error Handling

• Invalid Symbol
  • If the symbol is not recognized, the function returns "NA".
• License Issues
  • If the MarketXLS license is invalid or expired, the function returns a license-related message.
• Exception Handling
  • Any other errors or exceptions also return "NA".

Performance Considerations

• Retrieving historical fundamentals from external APIs can take additional processing time.
• Use cell references for repeated symbols or years to improve recalculation efficiency.

Examples and Usage

Below are practical examples to illustrate how to use the formula:

1. Retrieve values by specifying the company, year, and quarter:

   =hf_Receivables_as_a_Percentage_of_Revenue("MSFT", 2022, 2)

   Returns the receivables percentage for Microsoft in the second quarter of 2022.

2. Include trailing twelve months (TTM):

   =hf_Receivables_as_a_Percentage_of_Revenue("MSFT", 2022, 3, "TTM")

   Returns the TTM figure for Microsoft starting at the third quarter of 2022.

3. Use special keywords for last quarter or last year:

   =hf_Receivables_as_a_Percentage_of_Revenue("MSFT", "lq")
   =hf_Receivables_as_a_Percentage_of_Revenue("MSFT", "ly")

   Both formulas retrieve the most recent quarterly or yearly data for Microsoft, respectively.

4. Go back one quarter or one year beyond the last reported period:

   =hf_Receivables_as_a_Percentage_of_Revenue("MSFT", "lq-1")
   =hf_Receivables_as_a_Percentage_of_Revenue("MSFT", "ly-1")

   Ideal for reviewing historical comparisons.

? Pro Tip: Combine this formula with other MarketXLS historical fundamentals (like hf_Revenue or hf_Gross_Profit) to build a comprehensive financial analysis worksheet.

?? Note: Ensure you have a valid MarketXLS subscription to access historical fundamentals data.

Common Questions

1. What if my symbol doesn’t return a value?

• The formula returns "NA" if the symbol is invalid or unsupported. Double-check the ticker and the data availability for that security.

2. Can I reference cells for the parameters?

• Yes! For example, if cell A1 has "MSFT" and A2 has 2022, you can use:

  =hf_Receivables_as_a_Percentage_of_Revenue(A1, A2)

3. Does the formula work with non-stock symbols like indices or cryptocurrencies?

• Absolutely. You can use "^SPX" for the S&P 500 index or "BTCUSD:DEFAULT" for Bitcoin.

4. Why do I get a “NA” error for certain periods?

• Data might be unavailable or incomplete for that specific period. Ensure the fiscal reporting date aligns with your selection.

5. How do I analyze multiple periods efficiently?

1. Create a column of years or quarters.
2. Reference those cells in the formula for easy comparisons.
3. Use Excel’s drag-and-fill handle to populate multiple rows or columns quickly.

? Pro Tip: Pair this ratio with others (like Inventory Turnover or Days Sales Outstanding) to deepen your analysis of a company’s operational efficiency.

For more information on similar functions, explore:

• Revenue (Historical)
• Cost Of Revenue (Historical)
• Gross Profit (Historical)
• R & D Expenses (Historical)
• Selling General and Administrative Expense (Historical)