As previously stated, the Performance Center dashboard features a Quick add charts functionality which provides instant access to prebuilt charts. Various display options are available.
Revenue/Expenses
Revenue over
time
The Revenue By Time chart presented below illustrates the aggregate sales
accomplished by a corporation over a duration in comparison to the previous
year. This particular measure holds
significant value for enterprises of all kinds, as it has the potential to
signal a necessity for augmenting sales efforts during sluggish intervals
through intensified marketing initiatives, promotional offers, or price
adjustments.
Upon being furnished with data from preceding periods, one can discern whether the patterns remain consistent or if the clientele of the entity experienced an upsurge or decline in sales for the corresponding period in the prior year. This analysis facilitates the initiation of a dialogue, if deemed necessary, regarding the distinguishing factors between the various fiscal periods.
The Revenue By Time chart, similar to its counterpart the Expenses By Time
chart, discloses sales patterns within a business. This
serves as a valuable method for recognizing seasonal fluctuations and the
cyclicality inherent in business expenditures. By
examining historical data, a company can determine optimal cash reserves for
anticipated future requirements.
The data visualization presented below indicates a substantial surge in spending during December. Presumably, this surge reflects the company's year-end purchases aimed at minimizing tax liabilities.
Account receivable/ Accounts Payables
Accounts
receivable
The depiction presented in the Accounts Receivable by Aging Periods chart
illustrates the aggregate sum of funds that are owed to an organization by its
clientele, categorized based on the duration of time outstanding. This visual representation is capable of shedding light on
significant matters such as the total outstanding balances and the associated
risk of potential non-recovery of receivables.
In the event that a particular clientele had
established an objective to restrict outstanding receivables aged over six
months to a threshold of 5% of the entire Accounts Receivable, any performance
falling below this target would indicate suboptimal performance. This pertinent data could be communicated to the clientele
in question, serving as a starting point for delving into underlying causes and
devising effective remedies.
The chart can be further tailored to facilitate filtering based on factors such as geographical location, clientele, or projects, or alternatively, concentrated analysis on specific aging periods, as depicted in the accompanying illustration.
Accounts payable
This diagram illustrates the current amount that a company is indebted to
its suppliers as of a particular date, along with the duration for which its
payments are past due.
Through a comprehensive analysis of the Accounts Payable by Aging Periods chart alongside clients, one can provide guidance on optimizing cash flow through adherence to payment terms and leveraging discounts for early settlement.
Profit
Gross profit
over time
The evolution of gross profit over a period reflects the amount of gross
profit that can be allocated towards the coverage of an organization's fixed
expenses. Gross profit represents a basic
calculation denoting the surplus of income over the expenses incurred from the
sale of goods or services. (Revenue minus
Cost of Goods Sold results in gross profit.)
In the following visual representation, fluctuations in the gross profit of this particular company are observed to have occurred frequently over the course of the year.
Net profit over
time
The graphical representation known as the Net Profit By Time chart
illustrates the organization's net profit trends in relation to the preceding
period. Net profit denotes the residual
income subsequent to deducting total business expenses from overall revenue.
Essentially, this figure encapsulates nearly all
financial transactions within a business, with the exception of tax obligations
which are computed post net profit determination.
Both the Gross Profit By Time and Net Profit By
Time graphical depictions are valuable tools for elucidating to clients how
strategic alterations influence their financial outcome.
In instances where a client encounters profitability challenges and undertakes remedial actions such as adjusting pricing strategies and reducing expenditures, these charts serve as mechanisms for monitoring the repercussions of such adjustments.
Cost of Goods Sold (COGS)
COGS over time
The chart depicting the Cost of Goods Sold (COGS) Over Time illustrates the
expenditures made by a company on products and services sold to its clientele.
Similar to the Gross Profit By Time chart, this
visual representation is expected to exhibit a corresponding pattern,
reflecting costs directly associated with sales.
For individuals whose expenses on goods and services vary throughout the year, the COGS Over Time chart can provide valuable insights. It can indicate opportune moments for clients to reevaluate their pricing strategies in response to fluctuating operational expenses, as well as identify optimal times to make bulk purchases and capitalize on reduced prices for essential supplies.
Benchmarks Comparisons
Net profit
margin (NPM) vs. industry benchmarks
The NPM Vs Industry Benchmarks chart illustrates the net profit margin of a company over a period, juxtaposed with the margin of other firms within the identical sector. Organizations have the opportunity to assess their performance in relation to the median of other companies that share similarities in terms of size, geographical location, and industry.
Gross profit
margin (GPM) vs. industry benchmarks
The comparison between the Gross Profit Margin (GPM) and
Industry Benchmarks graph serves as an indicator of the adequacy of the
company's actual ratio of gross profit to revenue. This
tool enables customers to simulate the impact of various pricing frameworks on
the profitability margin. The percentage
representing the gross profit margin on the graph is derived by the formula
(gross profit/sales) × 100.
Cash flows
Net cash flow
This diagram presents historical data on the fluctuations in cash balances within the specified date range. It illustrates the overall impact on cash categorized by the nature of the activities, including operating, investing, and financing activities.
This isn’t a cash flow projection. It tracks historical cash activity. This could be helpful in tracking historical trends that help clients to plan for future cash events.
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