Aspen Technology Inc (AZPN)

Days of sales outstanding (DSO)

		Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Receivables turnover		9.76	5.27	8.14	11.85	8.50	13.33	8.39
DSO	days	37.40	69.21	44.84	30.80	42.92	27.39	43.51

June 30, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 9.76
= 37.40

Aspen Technology Inc's Days Sales Outstanding (DSO) is a measure of how efficiently the company collects its accounts receivable. A lower DSO indicates faster collection of receivables and better liquidity management.

Analyzing the trend in DSO over the past quarters, we can see fluctuations in the collection efficiency of Aspen Technology Inc. In the most recent quarter ending June 30, 2024, the DSO decreased significantly to 37.40 days, indicating a more efficient collection of sales. This is a positive sign as it suggests the company is able to convert its sales into cash more quickly.

In the previous quarter ending March 31, 2024, the DSO was much higher at 69.21 days, reflecting a slower collection process. However, looking back over the past few quarters, the company has managed to keep its DSO within a reasonable range.

It is important for Aspen Technology Inc to continue monitoring its DSO and strive to keep it at optimal levels to ensure healthy cash flow and liquidity. By analyzing the DSO trend over time, the company can identify any issues in accounts receivable management and take necessary steps to improve collection efficiency.