Curtiss-Wright Corporation (CW)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 3.82 | 3.47 | 3.81 | 4.06 | 3.94 | |
| DSO | days | 95.62 | 105.18 | 95.85 | 89.86 | 92.75 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.82
= 95.62
Days Sales Outstanding (DSO) is a financial ratio that indicates the average number of days it takes for a company to collect revenue after making a sale. A lower DSO value signifies a more efficient collection process, while a higher value may indicate potential issues with collecting revenue promptly.
In the case of Curtiss-Wright Corp., the trend of DSO over the past five years shows fluctuations. In 2023, the DSO decreased to 93.99 days from 103.43 days in 2022. This improvement suggests that Curtiss-Wright was able to collect revenue more efficiently in 2023 compared to the previous year.
Comparing to 2021, the DSO in 2023 was slightly higher (93.99 days vs. 94.26 days), indicating a minor deterioration in the collection process. Similarly, in 2020, the DSO was 89.86 days, suggesting that in 2023, it took Curtiss-Wright slightly longer to collect revenue than in the previous year.
Looking back to 2019, the DSO in 2023 was comparable to that year, with a minimal difference of 92.75 days in 2019 versus 93.99 days in 2023. This implies that the efficiency of revenue collection in 2023 was consistent with that of 2019.
Overall, the DSO trend for Curtiss-Wright Corp. shows some variations year over year, but the company managed to improve its collection efficiency in 2023 compared to 2022. Analyzing DSO alongside other financial ratios and operational metrics can provide a more comprehensive understanding of the company's performance and financial health.
Peer comparison
Dec 31, 2023