Burlington Stores Inc (BURL)
Days of sales outstanding (DSO)
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 130.81 | 102.05 | 112.66 | 113.53 | 122.41 | 106.24 | 124.63 | 116.57 | 172.35 | 99.18 | 106.14 | 85.85 | 92.73 | 78.23 | 115.49 | 521.51 | 79.63 | 60.22 | 70.62 | 68.15 | |
| DSO | days | 2.79 | 3.58 | 3.24 | 3.21 | 2.98 | 3.44 | 2.93 | 3.13 | 2.12 | 3.68 | 3.44 | 4.25 | 3.94 | 4.67 | 3.16 | 0.70 | 4.58 | 6.06 | 5.17 | 5.36 |
February 3, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 130.81
= 2.79
Days of Sales Outstanding (DSO) is a financial ratio that measures the average number of days a company takes to collect payment after making a sale. A lower DSO indicates that the company is more efficient in collecting receivables, while a higher DSO may imply potential issues with collections or credit policies.
Analyzing the DSO trend for Burlington Stores Inc over multiple periods, we observe fluctuations in the metric. The DSO ranged from as low as 0.70 days to as high as 6.06 days. In general, lower DSO values, such as the 0.70 days observed, indicate quicker collection of receivables, which can positively impact cash flow.
It is noteworthy that the DSO has varied over time, showing some degree of volatility. The company's ability to manage its accounts receivables effectively may have changed due to factors such as seasonality, changes in customer payment behavior, or shifts in credit policies. Burlington Stores Inc would benefit from maintaining a consistent and relatively low DSO to optimize cash flow and working capital management.
Further analysis of the DSO trend in conjunction with other financial ratios and operational metrics would provide a more holistic view of Burlington Stores Inc's financial performance and efficiency in managing its accounts receivables.
Peer comparison
Feb 3, 2024