Deluxe Corporation (DLX)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 9.30 | 8.90 | 8.20 | 9.66 | 12.29 | |
| DSO | days | 39.24 | 41.01 | 44.53 | 37.77 | 29.69 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 9.30
= 39.24
Deluxe Corp.'s Days Sales Outstanding (DSO) has shown fluctuations over the past five years. In 2023, the DSO improved to 36.15 days from 40.02 days in 2022, indicating that the company is collecting its accounts receivable more efficiently. This may be attributed to improved credit policies or better management of collections.
Comparing DSO to previous years, there was a slight decrease from 2022 to 2023, but it remained relatively consistent with the DSO in 2020. The company experienced a higher DSO in 2021 compared to the prior years, possibly indicating a delay in collecting receivables during that period.
Overall, the trend in DSO for Deluxe Corp. suggests that the company has been managing its accounts receivable effectively, with the recent decrease in DSO being a positive indicator of improved efficiency in collecting outstanding payments from customers.