CorVel Corp (CRVL)
Days of sales outstanding (DSO)
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 5.70 | 6.67 | 5.88 | 6.74 | 6.93 | |
| DSO | days | 64.06 | 54.73 | 62.09 | 54.18 | 52.68 |
March 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.70
= 64.06
CorVel Corp's days of sales outstanding (DSO) have shown some fluctuations over the past five years. As of March 31, 2024, the DSO stood at 64.06 days, indicating an increase compared to the prior year. This suggests that, on average, it took CorVel Corp approximately 64.06 days to collect outstanding sales revenue from its customers.
Comparing this to previous years, we observe that DSO was at its lowest in March 2020 at 52.68 days and has since experienced some variability. The company's DSO increased in March 2021 to 54.18 days, decreased in March 2022 to 62.09 days, and then increased again in March 2023 to 54.73 days.
These fluctuations in DSO may indicate changes in the company's credit policies, customer payment behavior, or the efficiency of its account receivables management. A rising DSO could suggest potential challenges in collecting payments promptly, which may impact cash flow and liquidity.
Further analysis of CorVel Corp's financial performance and operational strategies would be beneficial in understanding the factors influencing the trend in DSO over the years.