Crane Company (CR)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | ||
|---|---|---|---|---|---|
| Receivables turnover | 6.74 | ||||
| DSO | days | 54.19 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.74
= 54.19
Based on the data provided for Crane Company, the days of sales outstanding (DSO) as of December 31, 2023, was 54.19 days. This metric indicates the average number of days it takes for the company to collect payment after making a sale. A lower DSO is generally more favorable as it suggests that the company is collecting payments more quickly, improving its liquidity position. However, it is important to compare this figure with industry benchmarks and historical data to assess the company's performance in managing accounts receivable. Additionally, analyzing trends over different periods can provide insights into changes in the company's credit policies, customer payment behavior, and overall efficiency in managing receivables.
Peer comparison
Dec 31, 2023