Aramark Holdings (ARMK)

Days of sales outstanding (DSO)

Sep 30, 2024 Sep 30, 2023 Sep 30, 2022 Sep 30, 2021 Sep 30, 2020
Receivables turnover 8.31 9.77 7.42 6.76 8.69
DSO days 43.92 37.35 49.18 54.00 42.00

September 30, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.31
= 43.92

The Days Sales Outstanding (DSO) of Aramark Holdings has shown fluctuating trends over the past five years. In 2024, the DSO stands at 43.92 days, reflecting an increase from the previous year's 37.35 days. This indicates that on average, it takes Aramark Holdings approximately 43.92 days to collect revenue from its customers.

Comparing to 2022 and 2021, where the DSO was 49.18 days and 54.00 days respectively, the current DSO in 2024 is lower, suggesting an improvement in the company's accounts receivable collection efficiency. However, it is still higher compared to 2020 when the DSO was at 42.00 days.

Overall, the DSO trend of Aramark Holdings shows variability, and maintaining a close eye on managing accounts receivable efficiently to ensure timely collection of outstanding payments would be important for the company’s financial health and cash flow management.


Peer comparison

Sep 30, 2024