Azenta Inc (AZTA)
Days of sales outstanding (DSO)
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 4.26 | 16.39 | 4.18 | 4.72 | 6.97 | |
| DSO | days | 85.63 | 22.28 | 87.33 | 77.40 | 52.35 |
September 30, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.26
= 85.63
The Days Sales Outstanding (DSO) measures the average number of days it takes for Azenta Inc to collect revenue after making a sale. A lower DSO indicates quicker collection of receivables, which is generally favorable.
Azenta Inc's DSO has fluctuated over the past five years, ranging from 76.59 days in 2020 to 107.60 days in 2022. The DSO for 2023 stands at 85.91 days, indicating a decrease from the previous year. While the DSO seems to have returned to the level observed in 2021, it is higher than the low point of 76.59 days in 2020.
The fluctuation in DSO may be indicative of changes in Azenta Inc's credit policies, customer payment behavior, or the overall economic environment. It is essential for the company to monitor and manage this metric to ensure efficient cash flow management and timely collection of receivables.
Peer comparison
Sep 30, 2023