ASGN Inc (ASGN)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		6.00	5.37	5.66	5.81	5.27
DSO	days	60.81	68.01	64.47	62.83	69.32

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.00
= 60.81

To analyze ASGN Inc's days of sales outstanding (DSO) over the past five years, we observe a fluctuating trend. DSO measures the average number of days it takes for a company to collect revenue after a sale is made. Lower DSO values typically indicate a more efficient collections process.

From 2019 to 2020, we see a slight increase in DSO from 61.63 days to 62.71 days, which suggests a potential delay in collecting sales revenue. However, from 2020 to 2021, there is a decrease in DSO to 64.47 days, indicating improvement in collecting payments from customers.

In 2022, there is a notable increase in DSO to 68.01 days, pointing towards a potential challenge in collecting revenue efficiently. However, in 2023, there is a significant improvement as DSO drops to 60.81 days, which could indicate a more effective collections process during that period.

Overall, although there have been fluctuations in ASGN Inc's DSO over the years, the recent decrease in 2023 suggests a positive trend towards faster collections of sales revenue, which is a favorable indicator for the company's financial performance.