Cytek Biosciences Inc (CTKB)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Receivables turnover | 3.45 | 0.06 | 0.07 | |
| DSO | days | 105.76 | 6,019.36 | 4,980.47 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.45
= 105.76
The days of sales outstanding (DSO) ratio for Cytek Biosciences Inc has shown significant fluctuations over the past three years. In 2021, the DSO was reported at 4,980.47 days, which sharply increased to 6,019.36 days in 2022, displaying an alarming deterioration in the collection period. However, a substantial improvement was observed in 2023 with the DSO dropping to 105.76 days, indicating a much more efficient collection cycle.
The sharp decrease in DSO from 2022 to 2023 could imply that Cytek Biosciences Inc implemented better credit and collection policies, which helped in accelerating the cash conversion cycle and improving liquidity. It is essential for the company to maintain this downward trend in its DSO ratio to ensure timely collection of accounts receivable and efficient management of working capital.
Peer comparison
Dec 31, 2023