Copart Inc (CPRT)
Days of sales outstanding (DSO)
| Jul 31, 2025 | Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 6.09 | 6.06 | 4.84 | 5.44 | 5.39 | 4.92 | 4.70 | 5.29 | 5.46 | 5.41 | 4.80 | 5.65 | 5.57 | 5.73 | 4.89 | 5.17 | 5.38 | 5.54 | 4.88 | 5.49 | |
| DSO | days | 59.92 | 60.25 | 75.41 | 67.08 | 67.70 | 74.14 | 77.62 | 69.05 | 66.84 | 67.48 | 76.07 | 64.59 | 65.52 | 63.70 | 74.62 | 70.65 | 67.87 | 65.84 | 74.87 | 66.49 |
July 31, 2025 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.09
= 59.92
The analysis of Copart Inc.'s Days of Sales Outstanding (DSO) over the provided period reveals fluctuations that shed light on the company's collection efficiency and receivables management practices. Initially, at October 31, 2020, the DSO was approximately 66.49 days, indicating that, on average, it took the company around 66.5 days to collect receivables. This figure increased significantly over the subsequent quarters, reaching a peak of approximately 77.62 days by January 31, 2024.
The trend suggests periods of rising DSO that may correspond to changes in credit policies, customer payment behavior, or specific economic conditions affecting cash flows. For example, the DSO increased from about 66.5 days in late 2020 to over 74 days in early 2021, then fluctuated throughout 2021 and 2022, with some periods of slight improvement, such as April 30, 2022, at approximately 63.70 days. This indicates some efforts or circumstances that temporarily enhanced receivable collections.
However, more recent data show a general upward trajectory, with DSO values exceeding 75 days on several occasions, notably reaching 77.62 days in January 2024. This prolonged period to collect receivables suggests potential challenges in customer payment cycles or extended credit terms. The DSO then appears to fluctuate around the mid-60s to low 70s days in subsequent quarters, reaching 67.08 days as of October 31, 2024, before moving slightly upward again in early 2025. The most recent data points to a DSO of approximately 75.41 days in January 2025.
Overall, the observed pattern indicates that Copart Inc. has experienced periods of increasing DSO, which could reflect evolving credit policies or changes in customer payment behavior, potentially impacting cash flow management. The fluctuations and overall elevated DSO levels highlight the importance of ongoing receivables management strategies to optimize cash collection and reduce collection periods, especially given the industry and economic dynamics during this period.