Trailing Twelve Months Analysis

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Get valuable insights into unit performance through Trailing Twelve Months (TTM) analysis.

Do you have franchise locations with seasonal swings in revenue and expenses? Are the monthly trend charts too volatile to provide an accurate picture of performance? The TTM analysis can be a valuable tool to smooth out the seasonal fluctuations and gain accurate insight into unit performance.

The chart above is a typical monthly sales chart. Each point on the graph represents the sales for the month. At first glance there is a lot of volatility but no clear picture emerges as to whether the unit’s revenues are growing or declining over the last year.

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In the Trailing Twelve Months analysis chart above, each point on the graph is that month’s sales plus the sales from the previous 11 months. Volatility is smoothed out and a rather alarming picture emerges of a unit in serious sales decline. Unlike monthly charts, any dips in the TTM chart are to be given serious and immediate attention.

Trailing Twelve Months analysis is an integral part of iLumen’s business analysis and performance tracking tools. We provide TTM views for all of the unit’s key performance metrics in an easy to understand dashboard format. Moreover, you can compare any single units TTM to aggregated statistical values from peer units.

Please contact us at sales@ilumen.com to learn more about how iLumen might help your organization.

iLumen was selected as Accounting Today’s Top New Data Tool in 2014.