Peabody Energy Corp (BTU)
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 | 15.35 | 18.15 | 20.11 | 16.01 | 11.97 | 11.94 | 8.06 | 10.38 | 10.81 | 11.77 | 12.81 | 20.47 | 15.93 | 22.74 | 25.27 | 18.34 | 16.33 | 19.07 | 15.15 | 14.45 | |
| DSO | days | 23.78 | 20.11 | 18.15 | 22.80 | 30.50 | 30.58 | 45.29 | 35.15 | 33.77 | 31.02 | 28.50 | 17.83 | 22.92 | 16.05 | 14.45 | 19.90 | 22.35 | 19.14 | 24.08 | 25.27 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 15.35
= 23.78
Days of Sales Outstanding (DSO) is a measure used to evaluate how long it takes for a company to collect its accounts receivable. A lower DSO indicates that the company is able to collect payments from customers more quickly, which can be a positive sign of efficiency and liquidity.
Analyzing the DSO trend of Peabody Energy Corp over the past five quarters, we observe fluctuations in the number of days it takes for the company to collect its receivables. The DSO figures have ranged from a low of 14.45 days to a high of 45.29 days during this period.
The DSO has decreased significantly from the high of 45.29 days in June 2022 to the recent low of 18.15 days in June 2023. This reduction suggests improvements in the company's accounts receivable collection process and efficiency in managing its credit terms with customers.
While the DSO has shown a general decreasing trend over the past quarters, it is important to note the increase in DSO from the recent low in June 2023 to 22.80 days in March 2023. This uptick may indicate a slight slowdown in receivables collection, which warrants further attention and monitoring in upcoming quarters.
Overall, the decreasing trend in DSO for Peabody Energy Corp reflects positively on the company's ability to efficiently manage its accounts receivable and convert sales into cash. However, the recent uptick in DSO highlights the importance of continued monitoring and strategic credit management to optimize cash flow and working capital efficiency.
Peer comparison
Dec 31, 2023