Delta Air Lines Inc (DAL)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 18.26 | 15.57 | 11.77 | 11.58 | 16.37 | |
| DSO | days | 19.99 | 23.44 | 31.00 | 31.52 | 22.30 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 18.26
= 19.99
To analyze Delta Air Lines, Inc.'s Days Sales Outstanding (DSO) over the past five years, we observe a trend of fluctuating DSO figures.
In 2023, the DSO decreased to 19.68 days compared to 22.92 days in 2022, indicating an improvement in the company's efficiency in collecting receivables. This decrease could suggest that Delta Air Lines has been able to convert its sales into cash more quickly in the most recent year.
Looking back to 2021 and 2020, the DSO figures were higher at 29.35 days and 29.81 days, respectively. These higher DSO figures may hint at potential issues with the company's receivables turnover rate and cash flow management during those years.
In 2019, Delta Air Lines had a DSO of 22.16 days, somewhat in line with the figures seen in recent years.
Overall, while the DSO has exhibited fluctuations, it is essential for Delta Air Lines to continue to monitor and manage its receivables effectively to ensure optimal cash flow and financial performance. This analysis suggests that the company has made some progress in this area in 2023 compared to previous years.
Peer comparison
Dec 31, 2023