Risk score:
- The average commercial risk score for July was 58.3, up 0.5 percent over June's average score of 58.0. The score is essentially unchanged when compared with six months ago.
- In July, very large businesses (those with more than 1,000 employees) showed an almost 6 percent drop in their risk scores compared with June, going from 41.6 to 39.3. However, these businesses continue to demonstrate the greatest overall improvement in risk scores when compared with six months ago, when the average score was 38.2.
- In July, public administration showed the biggest improvement in risk scores over the past six months, improving by 1.6 percent.
- Conversely, the financial sector showed the greatest decline in risk scores over the same six-month period, decreasing by 1.5 percent.
Pennsylvania (61.4), Massachusetts (61.2) and Illinois (58.9) were the only states with the largest metropolitan areas that had risk scores better than the national average in July.
Average days beyond terms (DBT):
- Very large businesses and nonemployer businesses have shown the greatest increase in DBT, increasing by 5.6 percent and 4.0 percent, respectively, when compared with six months ago. Conversely, midsize businesses (with 50 to 499 employees) showed the biggest improvement, reducing DBT by as much as 6.1 percent over the same period.
- The largest increase seen in DBT month over month was in the nonemployer category, which increased by 2 percent to 5.7 days. Conversely, the biggest improvement in average DBT was seen in the large business category (those with 500 to 999 employees), where DBT improved by 1.6 percent to 8.6 days.
- All industry groups have shown an increase in DBT in July compared with June. Manufacturing and Utilities had the biggest increases, rising by 2.5 percent and 2.4 percent, respectively.
- New York (4.2 DBT), Massachusetts (5.1 DBT), Pennsylvania (5.3 DBT), California (5.4 DBT) and Texas (5.8 DBT) were the only states with the largest metropolitan areas that stayed well below the national average DBT in July.
Percentage of dollars delinquent:
- Nonemployer firms showed significant increases (16.4 percent) in the percentage of dollars delinquent when compared with six months ago. In terms of severely delinquent dollars, nonemployer firms and microbusinesses (those with one to four employees) also demonstrated significant increases, rising by 27.5 percent and 7.0 percent, respectively.
- Larger businesses (those with 500 to more than 1,000 employees) and midsize businesses with 100 to 249 employees showed significant improvements in percentage of dollars delinquent when compared with six months ago, decreasing by as much as 11.1 percent. Midsize businesses with 50 to 99 employees and larger businesses with 500 to 999 employees showed significant improvements in percentage of dollars significantly delinquent, decreasing by 11.8 percent and 9.4 percent, respectively.
- When compared with six months ago, Communications and Retail and Trade sectors saw significant increases (9 percent and 17 percent, respectively) in percentage of dollars delinquent. Communications, Real Estate and Hospitality sectors saw some of the largest increases in percentage of dollars severely delinquent, increasing by 22 percent, 26 percent and 26 percent, respectively. Conversely, the Retail and Hospitality sectors both saw improvements in percentage of dollars delinquent, improving by 12 percent and 9 percent, respectively.
- Almost all U.S. regions showed increases in percentage of dollars delinquent and percentage of dollars severely delinquent compared with six months ago. The South Central region showed the largest increase in percentage of dollars delinquent (up 14 percent), and the Mid-Atlantic region demonstrated the largest increase in severe delinquency (up 19 percent).
- California (9.4 percent), Texas (10.8 percent) and Massachusetts (12.3 percent) were the only states with the largest metropolitan areas that had an average percentage of dollars delinquent falling below the national average of 12.7 percent in July. In terms of percentage of dollars severely delinquent, Texas (3.9 percent), Massachusetts (4.1 percent), California (4.4 percent) and Pennsylvania (4.4 percent) were the areas that fell below the national average of 5.8 percent during the same period.
