ANI Pharmaceuticals Inc (ANIP)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		2.80	1.74	1.58	2.08	2.86
DSO	days	130.21	209.70	231.40	175.71	127.46

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 2.80
= 130.21

The days of sales outstanding (DSO) for ANI Pharmaceuticals Inc have exhibited fluctuations over the past five years. The DSO decreased from 127.46 days at the end of 2019 to 121.52 days at the end of 2020, indicating an improvement in the company's ability to collect accounts receivable. However, in 2021 and 2022, the DSO increased to 217.05 days and 190.86 days, respectively, suggesting potential challenges in timely collections from customers.

The significant increase in DSO in 2021 could point to issues such as customers taking longer to pay, potential credit risks, or a less efficient accounts receivable management process. The decrease in DSO in 2022 to 190.86 days may indicate some efforts to improve collections but still remains elevated compared to previous years.

Overall, the trend in DSO for ANI Pharmaceuticals Inc suggests the need for continued monitoring and potential strategies to optimize accounts receivable management and ensure timely cash inflows from sales.