Calix Inc (CALX)
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 | 8.26 | 11.88 | 10.23 | — | 9.25 | — | — | — | 7.97 | — | — | — | — | — | — | — | — | — | — | — | |
| DSO | days | 44.21 | 30.73 | 35.68 | — | 39.44 | — | — | — | 45.78 | — | — | — | — | — | — | — | — | — | — | — |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.26
= 44.21
Days Sales Outstanding (DSO) is a financial ratio that indicates the average number of days it takes for a company to collect payments after making a sale. A lower DSO indicates that the company is collecting payments more quickly, which is generally favorable as it improves cash flow and liquidity.
Looking at the trend for Calix Inc's DSO over the past eight quarters, we observe some fluctuations. In Q3 2023, the DSO decreased significantly to 28.88 days from the previous quarter's 35.69 days, which could imply that the company improved its collections process or had a more efficient credit management system in place during that period. However, in the following quarter (Q4 2023), the DSO increased to 44.25 days, reversing the positive trend seen in the previous quarter.
Comparing Q4 2023 to the same quarter in the previous year (Q4 2022), we see a slight improvement from 39.45 days to 44.25 days, indicating that the company was able to collect payments slightly faster year-over-year. Nonetheless, Calix Inc's DSO remains generally consistent, hovering around 35-45 days over the past eight quarters, which suggests that the company's accounts receivable management may need further attention to consistently optimize cash flow.
Overall, while the recent fluctuation in DSO may raise some concerns, Calix Inc should continue monitoring and analyzing its accounts receivable practices to ensure timely collections and efficient cash flow management.
Peer comparison
Dec 31, 2023