Cognex Corporation (CGNX)

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		7.08	6.60	5.94	—	7.87	—	—	—	7.70	—	—	—	—	—	—	—	—	—	—	—
DSO	days	51.58	55.31	61.44	—	46.38	—	—	—	47.38	—	—	—	—	—	—	—	—	—	—	—

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 7.08
= 51.58

To analyze Cognex Corp.'s days of sales outstanding (DSO) over the past eight quarters, we can observe the following trends:

1. Fluctuations in DSO: The DSO has varied significantly over the quarters, ranging from a low of 35.55 days in Q3 2022 to a high of 61.38 days in Q2 2023. This indicates possible challenges in collecting accounts receivable efficiently.

2. Seasonal Patterns: There appears to be some seasonal variation in DSO, as seen in the higher values in Q2 and Q3 of 2023 and the lower values in Q3 and Q4 of 2022. This could be influenced by the company's sales cycles or industry trends.

3. Comparing Performance: Comparing DSO across quarters can provide insights into how effectively Cognex is managing its receivables. A decreasing trend in DSO over time may suggest improvements in collection processes, while an increasing trend could indicate issues with customer payments.

4. Benchmarking: It would be beneficial to benchmark Cognex's DSO against industry averages or competitors to assess its performance relative to peers. This can help identify areas for improvement and enhance overall financial management.

Overall, monitoring DSO trends can provide valuable insights into Cognex Corp.'s accounts receivable management and efficiency in converting sales into cash inflows.