Crocs Inc (CROX)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 12.25 | 11.02 | 11.18 | 9.07 | 11.14 | |
| DSO | days | 29.80 | 33.11 | 32.64 | 40.25 | 32.78 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 12.25
= 29.80
Crocs Inc's days of sales outstanding (DSO) has shown a decreasing trend over the past five years, indicating an improvement in the company's accounts receivable management efficiency. The DSO decreased from 35.07 days in 2019 to 30.51 days in 2023.
This reduction in DSO suggests that Crocs Inc has been able to collect its accounts receivable more quickly, which may be indicative of effective credit policies, efficient collection processes, or strong customer relationships. A lower DSO means that the company is converting its sales into cash at a faster rate, which can positively impact the company's cash flow and liquidity position.
Overall, the decreasing trend in DSO for Crocs Inc reflects positively on the company's management of its accounts receivable and signals improved efficiency in collecting payments from customers.
Peer comparison
Dec 31, 2023