DR Horton Inc (DHI)

Days of sales outstanding (DSO)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Receivables turnover		—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
DSO	days	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—

December 31, 2023 calculation

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

To analyze D.R. Horton Inc.'s Days Sales Outstanding (DSO), I'll calculate the average DSO for the given periods. The DSO measures the average number of days it takes for a company to collect on its sales. A lower DSO indicates that a company is collecting payments from its customers more quickly.

The average DSO for the periods provided is (3.00 + 3.43 + 3.33 + 3.06 + 3.45 + 3.80 + 3.37 + 3.16) / 8 = 3.32 days. This suggests that, on average, D.R. Horton Inc. collects payment from its customers in approximately 3.32 days.

Comparing the DSO over time, there seems to be a slight fluctuation in the average DSO, which may indicate changes in the company's efficiency in collecting accounts receivable. The lower DSO values in more recent periods, such as December 31, 2023, and March 31, 2023, suggest an improvement in the company's collections process, potentially indicating more efficient credit and collection policies or improved customer payment behaviors.

Overall, a consistently low DSO is positive, as it indicates that the company is effectively managing its accounts receivable and converting sales into cash quickly. However, it's essential to compare DSO to industry benchmarks to gain a better understanding of D.R. Horton Inc.'s performance in this area.