Bristol-Myers Squibb Company (BMY)

Days of sales outstanding (DSO)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Receivables turnover		4.49	4.12	4.67	4.95	5.00
DSO	days	81.21	88.57	78.17	73.72	72.98

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.49
= 81.21

The Days of Sales Outstanding (DSO) for Bristol-Myers Squibb Company has shown a fluctuating trend over the past five years. As of December 31, 2020, the DSO stood at 72.98 days, indicating the average number of days it took for the company to collect its accounts receivable. By the end of 2021, the DSO increased slightly to 73.72 days.

In the subsequent years, the DSO continued to rise, reaching 78.17 days by December 31, 2022, and further escalating to 88.57 days by the end of 2023. This prolonged collection period suggests potential challenges in managing accounts receivable efficiently.

However, there was a notable improvement in the DSO for Bristol-Myers Squibb Company by December 31, 2024, as it decreased to 81.21 days. Despite the reduction, the company may still need to focus on streamlining its credit and collection processes to enhance cash flow and overall liquidity management.