Apogee Enterprises Inc (APOG)
Days of sales outstanding (DSO)
| Mar 2, 2024 | Nov 25, 2023 | Aug 26, 2023 | May 27, 2023 | Feb 25, 2023 | Nov 26, 2022 | Aug 27, 2022 | May 28, 2022 | Feb 26, 2022 | Nov 27, 2021 | Aug 28, 2021 | May 29, 2021 | Feb 27, 2021 | Nov 28, 2020 | Aug 29, 2020 | May 30, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | Jun 1, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 14.68 | 12.62 | 12.43 | 12.31 | 13.11 | 11.31 | 9.14 | 8.78 | 7.79 | 7.74 | 7.80 | 7.24 | 6.88 | 7.25 | 7.72 | 8.44 | 7.05 | 7.05 | 7.01 | — | |
| DSO | days | 24.87 | 28.92 | 29.36 | 29.66 | 27.85 | 32.26 | 39.95 | 41.58 | 46.88 | 47.17 | 46.78 | 50.41 | 53.05 | 50.32 | 47.25 | 43.26 | 51.77 | 51.74 | 52.03 | — |
March 2, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 14.68
= 24.87
Days Sales Outstanding (DSO) is a financial metric used to evaluate how efficiently a company is able to collect its accounts receivable. A lower DSO indicates that the company is collecting payments from its customers more quickly, which is generally seen as a positive sign of good liquidity and effective credit policies.
Analyzing the DSO trend for Apogee Enterprises Inc over the past few quarters reveals some interesting patterns. The DSO has fluctuated over the periods, ranging from a low of 24.87 days to a high of 53.05 days. In the most recent period, the DSO has decreased to 24.87 days, indicating that the company has improved its collection efficiency and is collecting payments faster.
Looking at historical data, there seems to be some seasonality in the DSO trend, with higher DSO values observed in the second and third quarters of the fiscal year. This could be due to various factors such as changes in the company's customer base, credit policies, or the timing of sales.
Overall, a decreasing trend in DSO is generally a positive indicator for a company, as it suggests that the company is managing its receivables efficiently and converting sales into cash more quickly. Apogee Enterprises Inc's recent improvement in DSO is a good sign, but it will be important to monitor future periods to see if this trend continues.