The Chefs Warehouse Inc (CHEF)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 10.36 | 10.15 | 9.83 | 10.02 | 11.32 | |
| DSO | days | 35.23 | 35.96 | 37.14 | 36.44 | 32.26 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 10.36
= 35.23
The Days of Sales Outstanding (DSO) for The Chefs Warehouse Inc have shown mixed trends over the past five years. Starting at 32.26 days as of December 31, 2020, the DSO increased to 36.44 days by the end of 2021. There was a further slight increase to 37.14 days by December 31, 2022. However, in the following years, there was a gradual decrease in DSO, with values of 35.96 days as of December 31, 2023, and 35.23 days by the end of 2024.
Overall, the DSO metric indicates the average number of days it takes for the company to collect its accounts receivable. The trend observed in the DSO for The Chefs Warehouse Inc suggests that there may have been some challenges in collecting payments from customers in the initial years, leading to higher DSO figures. However, the subsequent improvement in DSO indicates a more efficient accounts receivable management process, as the company was able to reduce the number of days it takes to collect outstanding payments.
Peer comparison
Dec 31, 2024