AutoZone Inc (AZO)

Days of sales outstanding (DSO)

		Feb 10, 2024	Nov 18, 2023	Aug 26, 2023	May 6, 2023	Feb 11, 2023	Nov 19, 2022	Aug 27, 2022	May 7, 2022	Feb 12, 2022	Nov 20, 2021	Aug 28, 2021	May 8, 2021	Feb 13, 2021	Nov 21, 2020	Aug 29, 2020	May 9, 2020	Nov 23, 2019	Aug 31, 2019	May 4, 2019	Feb 9, 2019
Receivables turnover		35.58	34.50	33.55	—	—	—	32.19	—	—	—	38.66	—	—	—	—	—	—	—	—	—
DSO	days	10.26	10.58	10.88	—	—	—	11.34	—	—	—	9.44	—	—	—	—	—	—	—	—	—

February 10, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 35.58
= 10.26

Based on the provided data for AutoZone Inc's Days Sales Outstanding (DSO), we can see a relatively stable trend over the past few quarters. The DSO, which measures the average number of days it takes for a company to collect payment after a sale has been made, has been fluctuating around the 10 to 11-day range.

The DSO figures indicate that AutoZone Inc has been efficient in collecting payments from its customers without significant delays. The slight variations in DSO could be attributed to changes in sales patterns, payment terms, or collection strategies.

Overall, the consistent DSO figures suggest that AutoZone Inc has been managing its accounts receivable effectively, maintaining a healthy balance between sales growth and cash flow management. However, it would be beneficial for the company to analyze the reasons behind any fluctuation in DSO and take necessary steps to ensure optimal working capital management.