Albany International Corporation (AIN)

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		3.65	3.75	4.10	4.45	4.60	4.52	4.35	4.04	4.18	4.00	4.09	4.06	4.16	3.96	4.43	4.55	4.42	4.36	4.37	4.00
DSO	days	99.89	97.40	88.96	81.95	79.37	80.78	83.99	90.42	87.23	91.14	89.26	89.83	87.77	92.13	82.47	80.19	82.62	83.69	83.47	91.21

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.65
= 99.89

The days of sales outstanding (DSO) of Albany International Corp. fluctuated over the past eight quarters, ranging from a low of 70.55 days in Q4 2022 to a high of 91.51 days in Q4 2023. The trend indicates an overall increase in DSO over the past year, with the most recent quarter showing a significant uptick compared to the previous quarters.

A higher DSO suggests that it takes the company longer to collect its accounts receivable, which may indicate potential issues with customer creditworthiness or collection processes. Conversely, a lower DSO indicates a more efficient collection process and potentially healthier cash flow management.

In this case, the increasing trend in DSO could be a cause for concern, as it may indicate potential cash flow challenges or difficulties in collecting payments from customers. Management should closely monitor and investigate the reasons behind the rising DSO to address any underlying issues and optimize cash flow efficiency.