Cirrus Logic Inc (CRUS)

Days of sales outstanding (DSO)

		Mar 31, 2024	Dec 31, 2023	Sep 23, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Receivables turnover		11.01	8.23	6.48	9.78	12.60	7.45	6.48	9.20	7.42	4.86	5.42	10.28	12.59	5.53	6.85	9.41	8.31	7.06	5.46	10.48
DSO	days	33.17	44.33	56.36	37.30	28.96	49.00	56.35	39.67	49.21	75.14	67.39	35.52	29.00	65.98	53.29	38.79	43.90	51.73	66.79	34.83

March 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 11.01
= 33.17

Days of Sales Outstanding (DSO) is a financial metric used to measure the average number of days it takes for a company to collect payment after a sale has been made. A lower DSO indicates that a company is able to efficiently collect its accounts receivable, while a higher DSO may indicate potential issues with collections.

Analyzing Cirrus Logic Inc's DSO over the past several quarters, we observe fluctuations in the metric. DSO ranged from a low of 28.96 days in March 2023 to a high of 75.14 days in December 2021. Generally, a decreasing trend in DSO over time may suggest improving efficiency in collections, while an increasing trend could indicate potential challenges in collecting payments.

It is important to note that a high DSO could potentially lead to cash flow issues if collections are delayed, impacting the company's liquidity and financial stability. Conversely, a low DSO may indicate effective credit management and prompt collections, which can positively impact working capital management.

Overall, a detailed analysis of Cirrus Logic Inc's DSO trend along with other financial metrics and industry benchmarks would provide a comprehensive view of the company's accounts receivable management efficiency.