Core & Main Inc (CNM)
Days of sales outstanding (DSO)
| Jan 28, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 6.80 | 5.40 | 5.32 | 5.97 | 6.90 | 5.08 | 4.79 | 4.92 | ||||
| DSO | days | 53.64 | 67.63 | 68.58 | 61.12 | 52.93 | 71.87 | 76.20 | 74.25 |
January 28, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.80
= 53.64
The Days Sales Outstanding (DSO) for Core & Main Inc shows a fluctuating trend over the past few quarters.
In the most recent quarter, ending on January 28, 2024, the DSO stands at 53.64 days, indicating that on average, it takes the company approximately 53.64 days to collect its accounts receivable. This is a decrease from the previous quarter, where the DSO was 67.63 days on October 29, 2023. The lower DSO in the current quarter suggests an improvement in the company's efficiency in collecting payments from customers.
Looking back further, the DSO figures for the preceding quarters were as follows: 68.58 days on July 30, 2023, 61.12 days on April 30, 2023, and 52.93 days on January 29, 2023. These numbers show some variability but generally suggest a trend of improvement in collecting receivables during this period.
However, prior to this improving trend, there were spikes in DSO, such as 76.20 days on July 31, 2022, 71.87 days on October 30, 2022, and 74.25 days on May 1, 2022. These higher DSO numbers indicate the company took longer to collect payments from customers during those quarters.
Overall, the analysis of Core & Main Inc's DSO over the past few quarters suggests that the company has made progress in managing its accounts receivable and improving its collection efficiency. It is important for the company to monitor this metric consistently to ensure timely cash inflows and optimize working capital management.