Appfolio Inc (APPF)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		22.65	28.92	28.60	49.31	33.64
DSO	days	16.12	12.62	12.76	7.40	10.85

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 22.65
= 16.12

Appfolio Inc's Days of Sales Outstanding (DSO) represents the average number of days it takes for the company to collect revenue from its credit sales. A lower DSO indicates better liquidity and efficient accounts receivable management.

In the years presented, Appfolio Inc's DSO has fluctuated. In 2023, the DSO increased to 16.12 days from 12.62 days in 2022, indicating a potential delay in collecting receivables compared to the previous year. However, the DSO in 2023 is still lower than the levels seen in 2020 and 2019.

Comparing the DSO figures over a five-year period, Appfolio Inc's DSO has generally remained within a moderate range, with fluctuations likely influenced by the company's sales policies, payment terms, and customer credit profiles. Overall, a closer examination of the company's accounts receivable collection processes and customer creditworthiness may provide insights into the variations in DSO observed over the years.