Adapthealth Corp (AHCO)

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		6.72	7.21	7.32	7.52	7.20	5.57	5.34	4.87	4.36	4.59	4.13	3.50	3.60	4.92	4.97	4.10	5.60	—	—	—
DSO	days	54.35	50.61	49.83	48.51	50.72	65.54	68.39	74.87	83.68	79.52	88.41	104.25	101.31	74.11	73.49	89.01	65.22	—	—	—

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.72
= 54.35

To analyze AdaptHealth Corp's Days Sales Outstanding (DSO) over the past several quarters, we observe a general trend of decreasing DSO from Q1 2022 to Q1 2023, indicating an improvement in the company's ability to collect its accounts receivable in a timely manner.

Specifically, the DSO decreased from 50.40 days in Q1 2022 to 42.85 days in Q1 2023, reflecting a positive trend in the company's accounts receivable management. This can suggest that AdaptHealth Corp is becoming more efficient in collecting payments from its customers, which may lead to improved cash flows and working capital management.

Despite some fluctuations in DSO over the quarters, the overall downward trend is a positive indicator for the company's financial performance and liquidity. It implies that AdaptHealth Corp is potentially strengthening its credit control processes and enhancing its relationship with customers to expedite payment collections.

Further monitoring and analysis of DSO trends will be essential to assess the company's effectiveness in managing its accounts receivable and maintaining healthy cash flow in the future.