Donaldson Company Inc (DCI)
Days of sales outstanding (DSO)
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 5.70 | 5.72 | 5.36 | 5.16 | 5.67 | |
| DSO | days | 64.09 | 63.80 | 68.06 | 70.69 | 64.37 |
July 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.70
= 64.09
The days of sales outstanding (DSO) for Donaldson Company Inc have shown some fluctuation over the past five years. In the most recent fiscal year ending July 31, 2024, the DSO stood at 64.09 days, which was slightly higher compared to the previous year's figure of 63.80 days. This indicates that the company took slightly longer to collect its accounts receivable in the most recent year.
Looking further back, the DSO was 68.06 days in fiscal year 2022 and 70.69 days in 2021, showing a decreasing trend in the time taken to collect receivables during those years. However, in fiscal year 2020, the DSO was 64.37 days, which is closer to the most recent year's figure.
Overall, Donaldson Company Inc's DSO has varied over the years, with some improvement seen in the middle years but a slight increase in the most recent year. It is essential for the company to manage its accounts receivable effectively to ensure timely collection and maintain healthy liquidity levels.