ACI Worldwide Inc (ACIW)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		6.73	15.04	16.84	7.42	6.86
DSO	days	54.21	24.27	21.67	49.20	53.18

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.73
= 54.21

Based on the data provided, the days of sales outstanding (DSO) for ACI Worldwide Inc have shown fluctuations over the past five years. In 2023, the DSO stood at 113.66 days, which increased from the previous year's figure of 103.65 days. This indicates that the company took longer to collect its accounts receivable in 2023 compared to 2022.

Looking further back, there was a notable increase in DSO from 85.33 days in 2021 to 96.69 days in 2020, followed by a slight decrease to 104.19 days in 2019. Overall, the trend in DSO suggests some variability in the efficiency of ACI Worldwide Inc in collecting payments from customers over the years.

It is essential for the company to monitor and manage its DSO effectively to ensure timely collection of receivables and maintain healthy cash flows. Longer DSO can indicate potential liquidity issues or difficulties in collecting payments, while a decreasing trend may signal improvements in the company's credit policies and collection processes.