Cross Country Healthcare Inc (CCRN)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		5.10	4.21	3.33	4.73	4.62
DSO	days	71.53	86.80	109.48	77.25	78.96

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.10
= 71.53

Cross Country Healthcares, Inc.'s days of sales outstanding (DSO) has shown variability over the past five years. In 2023, the DSO decreased to 68.93 days from 84.41 days in 2022, indicating an improvement in the company's ability to collect its accounts receivable efficiently. This may suggest enhanced credit control measures or a more effective collection strategy.

Comparing the DSO in 2023 to previous years, it is notably lower than the high of 108.62 days in 2021. This reduction in DSO demonstrates a more streamlined and effective account receivables management process in place compared to two years ago.

However, it is important to note that the DSO in 2023 is still higher than the levels seen in 2020 and 2019, which were 76.24 days and 77.48 days, respectively. While improvements have been made, there may still be room for further enhancement in the collection of receivables.

Overall, the decreasing trend in DSO over the past two years indicates a positive development in Cross Country Healthcares, Inc.'s efficiency in collecting accounts receivable, although continued monitoring and potential optimization are recommended to maintain a healthy cash flow position.