Crocs Inc (CROX)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 15.64 | 12.25 | 11.02 | 11.18 | 9.07 | |
| DSO | days | 23.33 | 29.80 | 33.11 | 32.64 | 40.25 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 15.64
= 23.33
Based on the data provided, the Days of Sales Outstanding (DSO) for Crocs Inc has shown a consistent improvement from 40.25 days as of December 31, 2020, to 23.33 days as of December 31, 2024. This signifies that the company has been able to collect its accounts receivable more efficiently over the years.
A lower DSO indicates that Crocs Inc is collecting payments from its customers more quickly, which could potentially improve its cash flow and overall liquidity. The decreasing trend in DSO also suggests that the company's credit and collection policies are effective in managing its receivables.
It is important to note that a low DSO should be balanced with other financial metrics to get a comprehensive understanding of the company's overall financial health. Nonetheless, the decreasing trend in Crocs Inc's DSO is a positive sign of its operational efficiency in managing its accounts receivable.
Peer comparison
Dec 31, 2024