Asbury Automotive Group Inc (ABG)

Days of sales outstanding (DSO)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Receivables turnover		65.47	72.58	84.78	90.66	89.78	80.85	73.18	61.90	42.81	88.34	78.44	56.41	45.86	53.73	77.40	79.94	52.94	63.12	59.81	60.26
DSO	days	5.58	5.03	4.31	4.03	4.07	4.51	4.99	5.90	8.53	4.13	4.65	6.47	7.96	6.79	4.72	4.57	6.89	5.78	6.10	6.06

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 65.47
= 5.58

Asbury Automotive Group Inc's Days Sales Outstanding (DSO) has shown a decreasing trend over the past eight quarters, indicating an improvement in the efficiency of the company in collecting its accounts receivable. In Q1 2022, DSO was at its highest point at 5.90 days, and since then, it has steadily decreased to 4.03 days in Q1 2023.

The decrease in DSO reflects that Asbury Automotive Group Inc has been able to collect payments from its customers more quickly, potentially resulting in improved cash flows and working capital management. A lower DSO signifies that the company is able to convert its accounts receivable into cash faster, which is generally a positive indicator of the company's liquidity and operational efficiency.

Overall, the decreasing trend in DSO for Asbury Automotive Group Inc indicates effective management of its accounts receivable and a potential positive impact on its financial performance and cash flow position.