ArcBest Corp (ARCB)

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		9.32	9.68	11.07	10.72	8.99	8.26	7.28	6.44	6.71	8.25	9.09	8.59	8.78	8.41	9.78	10.13	9.92	9.79	9.84	9.96
DSO	days	39.18	37.69	32.99	34.05	40.59	44.19	50.13	56.70	54.36	44.24	40.14	42.47	41.58	43.41	37.32	36.01	36.81	37.28	37.08	36.64

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 9.32
= 39.18

To analyze ArcBest Corp's Days of Sales Outstanding (DSO) trend, we can observe that there has been a declining trend in DSO over the past eight quarters. In Q4 2023, DSO stood at 39.76 days, a decrease from the previous quarter's 38.27 days. This downward trend has been consistent since Q2 2022, where DSO was at its peak of 56.82 days.

The decrease in DSO indicates that ArcBest Corp has been able to collect its accounts receivable more efficiently. A lower DSO suggests that the company is managing its receivables better and converting credit sales into cash more quickly.

Overall, the declining trend in DSO is a positive indicator of ArcBest Corp's liquidity and effectiveness in managing its accounts receivable, potentially leading to improved working capital management and cash flow generation. However, it would be essential to monitor this ratio in future periods to ensure the trend continues positively.