Adapthealth Corp (AHCO)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 6.72 | 7.20 | 6.13 | 5.35 | 5.60 | |
| DSO | days | 54.35 | 50.72 | 59.57 | 68.18 | 65.22 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.72
= 54.35
The days of sales outstanding (DSO) for AdaptHealth Corp have shown a fluctuating trend over the past five years. In 2023, the DSO decreased slightly to 44.36 days compared to 44.13 days in 2022. This indicates that the company is collecting its accounts receivable more efficiently in the most recent year.
Looking back further, there was a significant improvement in DSO from 2021 to 2022, where it decreased from 53.52 days to 44.13 days. However, there was a deterioration in DSO in 2021 compared to 2020, with an increase from 59.11 days to 53.52 days. In 2020, there was a notable improvement from 2019 when the DSO stood at 54.18 days.
Overall, the trend in DSO for AdaptHealth Corp suggests that the company has been able to manage its accounts receivable and improve its collection efficiency over the past few years, with some fluctuations observed. This can be a positive indicator of the company's ability to convert credit sales into cash efficiently.
Peer comparison
Dec 31, 2023