The Boeing Company (BA)

Days of Sales Outstanding (DSO) is a key financial ratio that measures the average number of days it takes for a company to collect payments after making a sale. A lower DSO indicates that the company is collecting payments more quickly, which is generally favorable as it reflects a more efficient accounts receivable process.

Analyzing The Boeing Company's DSO over the past few years shows some fluctuations. From December 31, 2020, to March 31, 2021, there was a notable decrease in DSO from 12.27 days to 15.23 days, indicating that Boeing took longer to collect payments during that period. However, from March 31, 2021, to December 31, 2021, the DSO improved slightly to 15.48 days.

In the most recent period, from December 31, 2024, to March 31, 2025, The Boeing Company managed to reduce its DSO to 14.13 days, showing an improvement in its accounts receivable collection efficiency. This can be a positive sign of effective management of receivables and cash flow.

Overall, tracking changes in DSO can provide insights into Boeing's ability to manage its accounts receivable effectively and optimize its cash flow cycle. It is essential for investors and stakeholders to monitor this ratio alongside other financial metrics to gain a comprehensive understanding of the company's financial health and operational efficiency.

Peer comparison

Dec 31, 2024