Amedisys Inc (AMED)

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		6.81	6.97	8.00	7.60	7.19	5.53	5.46	3.79	2.00	2.07	0.06	0.12	2.01	4.05	6.05	7.37	8.09	7.42	7.55	7.30
DSO	days	53.56	52.36	45.64	48.05	50.76	66.04	66.86	96.37	182.75	176.70	6,429.99	3,034.59	181.47	90.22	60.31	49.51	45.09	49.21	48.33	49.99

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.81
= 53.56

Amedisys Inc.'s Days Sales Outstanding (DSO) measures the average number of days it takes for the company to collect payment after making a sale. A lower DSO indicates that the company is collecting payments more quickly, which can be a positive sign of effective accounts receivable management.

From the data provided, we can observe some fluctuations in Amedisys Inc.'s DSO over the past eight quarters. In Q4 2023, the DSO was 51.15 days, which decreased from the previous quarter (Q3 2023) where it was 52.36 days. This improvement suggests a quicker collection of payments in the most recent quarter.

Looking at the trend over the past year, the DSO has shown some variability but has generally hovered around the 48-52 day range. This indicates that the company's collection efforts have been relatively consistent, with occasional fluctuations possibly influenced by seasonal factors or changes in customer payment behavior.

Overall, Amedisys Inc. should continue to monitor and manage its DSO closely to ensure efficient cash flow management and timely collection of receivables. Achieving a balance between promptly collecting payments and maintaining positive customer relationships is crucial for the company's financial health and operational efficiency.