Cisco Systems Inc (CSCO)

Days of sales outstanding (DSO)

		Jan 31, 2025	Oct 31, 2024	Jul 31, 2024	Jul 27, 2024	Apr 30, 2024	Apr 27, 2024	Jan 31, 2024	Jan 27, 2024	Oct 31, 2023	Oct 28, 2023	Jul 31, 2023	Jul 29, 2023	Apr 30, 2023	Apr 29, 2023	Jan 31, 2023	Jan 28, 2023	Oct 31, 2022	Oct 29, 2022	Jul 31, 2022	Jul 30, 2022
Receivables turnover		—	—	—	5.20	—	6.13	—	6.83	—	7.21	—	6.24	—	6.50	—	6.15	—	5.76	—	4.88
DSO	days	—	—	—	70.21	—	59.58	—	53.42	—	50.63	—	58.46	—	56.19	—	59.40	—	63.37	—	74.76

January 31, 2025 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ —
= —

Days of Sales Outstanding (DSO) is a financial metric that measures the average number of days it takes a company to collect payment after making a sale. Looking at the data provided for Cisco Systems Inc:

- In July 2022, the DSO was 74.76 days, indicating that on average, it took the company almost 75 days to collect payment from customers.
- By October 2022, the DSO had improved to 63.37 days, showing that Cisco was able to shorten its collection period.
- The trend continued in January 2023, with DSO decreasing further to 59.40 days, suggesting improved efficiency in receivables collection.
- In April 2023, DSO decreased again to 56.19 days, indicating a positive trend in collecting payments from customers.
- The DSO slightly increased in July 2023 to 58.46 days but remained relatively stable.
- By October 2023, DSO improved significantly to 50.63 days, showing continued efficiency in collecting receivables.
- However, in January 2024, DSO increased to 53.42 days, suggesting a slight delay in collecting payments.
- The trend reversed in April 2024, with DSO increasing further to 59.58 days, indicating potential challenges in timely collections.
- In July 2024, DSO spiked to 70.21 days, reflecting a significant delay in collecting payments.

Overall, the trend in Cisco Systems Inc's DSO fluctuated over the period analyzed, with improvements followed by some setbacks. It is essential for the company to monitor and manage its DSO to ensure efficient cash flow and timely collections from customers.