Certara Inc (CERT)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Receivables turnover | 3.89 | 3.88 | 3.88 | |
| DSO | days | 93.72 | 94.08 | 94.13 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.89
= 93.72
To analyze Certara Inc's Days Sales Outstanding (DSO) over the past four years, we observe a trend of fluctuations. The DSO was 90.91 days as of December 31, 2023, which is a slight improvement compared to the previous year's 92.00 days. This indicates that the company took slightly fewer days to collect its accounts receivable in 2023.
Furthermore, compared to December 31, 2021, when the DSO was 94.86 days, there has been a noticeable improvement in the collection period. However, looking back to December 31, 2020, where the DSO stood at 91.71 days, we see that there has been some variability in the efficiency of collecting receivables over the four-year period.
Overall, it is essential for Certara Inc to monitor its DSO closely to ensure efficient management of accounts receivable and maintain healthy cash flows.
Peer comparison
Dec 31, 2023