Adtalem Global Education Inc (ATGE)

The data indicates a progressive increase in the days of sales outstanding (DSO) for Adtalem Global Education Inc over the period from June 30, 2021, to June 30, 2025. Specifically, the DSO rose from 17.47 days in 2021 to 21.48 days in 2022, representing an increase of approximately 4.01 days. This upward trend continued into 2023, with DSO reaching 25.85 days, an increase of approximately 4.37 days compared to the prior year. The trend persisted further into 2024, where DSO increased to 29.21 days, reflecting a rise of about 3.36 days from 2023. The projected data for 2025 suggests a marginal increase to 29.84 days, an additional 0.63 days increase from 2024.

This trend of rising DSO over the four-year period indicates a gradual extension in the time it takes the company to collect receivables from its customers. The increase from 17.47 days to nearly 30 days suggests a decline in collection efficiency or an intentional extension of credit terms. The upward trajectory could potentially impact the company's liquidity and working capital management, as longer collection periods might lead to increased reliance on working capital to fund ongoing operations.

Overall, the consistent increase in DSO points to a notable change in the company's receivables collection dynamics, warranting further analysis into credit policies, customer payment behaviors, and the overall credit risk management strategies employed by Adtalem Global Education Inc.

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Jun 30, 2025