Clean Harbors Inc (CLH)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 5.67 | 5.24 | 5.15 | 5.25 | 5.49 | 5.28 | 5.44 | 5.51 | 5.36 | 4.86 | 4.56 | 4.62 | 4.80 | 4.87 | 4.96 | 4.96 | 5.13 | 5.34 | 5.80 | 5.29 | |
| DSO | days | 64.40 | 69.68 | 70.93 | 69.52 | 66.50 | 69.07 | 67.10 | 66.25 | 68.12 | 75.08 | 80.00 | 79.05 | 76.08 | 74.90 | 73.54 | 73.64 | 71.10 | 68.34 | 62.90 | 69.06 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.67
= 64.40
Days Sales Outstanding (DSO) is a key metric used to evaluate how efficiently a company is managing its accounts receivable. In the case of Clean Harbors Inc, the DSO has shown some fluctuations over the past few years.
From March 31, 2020, to December 31, 2024, the DSO ranged from a low of 62.90 days in June 30, 2020, to a high of 80.00 days in June 30, 2022. Overall, the trend has been relatively stable, with some minor fluctuations.
The company's DSO increased slightly from 69.06 days on March 31, 2020, to 64.40 days on December 31, 2024. This indicates that Clean Harbors Inc took longer to collect its accounts receivable by the end of the period compared to the beginning.
It is important for investors and stakeholders to monitor the DSO trend as it can provide insights into the company's credit policies, collection efficiency, and potential liquidity issues. While a decreasing DSO may suggest improved efficiency in collecting receivables, a consistently high DSO could raise concerns about the company's ability to manage its working capital effectively.
Overall, Clean Harbors Inc should continue to monitor its DSO and take necessary steps to optimize its accounts receivable management for better financial performance and operational efficiency.