Caleres Inc (CAL)

Days Sales Outstanding (DSO) is a key metric used to assess a company's efficiency in collecting revenue from its customers. A lower DSO indicates a shorter time taken by the company to convert its accounts receivable into cash, reflecting effective credit management and prompt collections.

Based on the trend analysis of Caleres Inc's DSO over the past five years, we observe fluctuations in the DSO metric. In the most recent fiscal year, ending on February 3, 2024, Caleres Inc had a DSO of 20.04 days, which was higher compared to the prior year but still relatively low compared to previous periods.

The DSO decreased slightly from 27.78 days in fiscal year 2021 to 20.27 days in fiscal year 2020, indicating an improvement in the collection process efficiency. However, in fiscal year 2024, there was a slight increase in DSO compared to the previous year, which may suggest a longer credit collection cycle or potential challenges in accounts receivable management.

Overall, while Caleres Inc's DSO has shown some variability over the years, the current DSO of 20.04 days in 2024 indicates that the company is generally efficient in converting credit sales into cash, although management may need to monitor and address any upward trends in DSO to ensure optimal cash flow and liquidity management.

Peer comparison

Feb 3, 2024