Agilent Technologies Inc (A)
Days of sales outstanding (DSO)
| Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 4.41 | 5.29 | 5.26 | 5.17 | 4.89 | 5.16 | 4.98 | 4.71 | 4.55 | 4.91 | 5.22 | 5.29 | 5.05 | 5.40 | 5.34 | 5.02 | 4.68 | 5.52 | 5.81 | 5.33 | |
| DSO | days | 82.74 | 68.96 | 69.45 | 70.55 | 74.60 | 70.71 | 73.31 | 77.49 | 80.29 | 74.34 | 69.91 | 68.97 | 72.32 | 67.61 | 68.38 | 72.75 | 78.04 | 66.07 | 62.82 | 68.49 |
October 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.41
= 82.74
Agilent Technologies Inc's Days Sales Outstanding (DSO) measures the average number of days it takes for the company to collect revenue after making a sale. Looking at the trend over the past few quarters, we observe fluctuations in the DSO values.
In the most recent quarter, ending on October 31, 2024, the DSO stood at 82.74 days, which indicates that Agilent Technologies took approximately 82.74 days to collect its outstanding sales. Compared to the previous quarter, there was an increase in DSO from 68.96 days to 82.74 days, signifying a potential delay in collecting accounts receivable.
Furthermore, when analyzing the DSO figures over multiple quarters, we notice some variability in the collection efficiency of Agilent Technologies. The company experienced a peak in DSO in the quarter ended October 31, 2020, at 78.04 days, followed by a decrease over subsequent periods before rising again in the latest quarter.
A higher DSO value suggests that Agilent Technologies may be facing challenges in collecting receivables promptly, potentially impacting cash flow and liquidity. The management should focus on improving credit policies, enhancing collection practices, and monitoring customer payment patterns to reduce DSO and enhance working capital efficiency.
Peer comparison
Oct 31, 2024