Badger Meter Inc (BMI)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 8.46 | 7.54 | 7.52 | 7.04 | 7.38 | 6.64 | 6.92 | 6.65 | 7.67 | 6.53 | 7.30 | 7.05 | 6.90 | 7.29 | 7.70 | 7.24 | 6.92 | 6.86 | 7.01 | 6.36 | |
| DSO | days | 43.16 | 48.44 | 48.54 | 51.86 | 49.46 | 55.00 | 52.73 | 54.88 | 47.59 | 55.87 | 50.02 | 51.74 | 52.91 | 50.06 | 47.43 | 50.45 | 52.78 | 53.21 | 52.03 | 57.38 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.46
= 43.16
To analyze Badger Meter Inc.'s days of sales outstanding (DSO) over the past eight quarters, we observe a fluctuating trend in the DSO figures.
In Q4 2023, the DSO decreased to 43.32 days compared to the previous quarter. This implies that the company was able to collect its accounts receivable more efficiently during this period.
However, in Q3 and Q2 2023, the DSO increased to 48.63 days and 48.66 days, respectively. This indicates a longer time taken to collect receivables, which may raise concerns about the company's credit policies or the financial health of its customers.
In Q1 2023, the DSO further increased to 51.92 days, marking a continued deterioration in accounts receivable collection efficiency. This trend was also observed in the previous quarters of 2022, with DSO figures ranging from 49.47 days to 55.01 days.
Overall, Badger Meter Inc. has shown inconsistency in managing its accounts receivable turnover, as reflected in the fluctuating DSO figures over the analyzed period. Further investigation into the company's credit and collection policies may be warranted to address the variability in DSO and improve working capital management.
Peer comparison
Dec 31, 2023