Dow Inc (DOW)

To analyze Dow Inc's Days Sales Outstanding (DSO), we examine the trend over the period from December 31, 2020, to December 31, 2024. DSO represents the average number of days it takes for the company to collect payment after making a sale.

- In 2020, the DSO was 69.98 days, indicating that on average, it took nearly 70 days for Dow Inc to collect its receivables.
- The DSO decreased to 63.44 days by the end of 2021, suggesting an improvement in the company's ability to collect payments more efficiently.
- By December 31, 2022, the DSO further decreased to 49.74 days, reaching its lowest point in this period. This signifies that Dow Inc was collecting payments more swiftly, potentially indicating stronger cash flow management.
- In 2023, the DSO increased slightly to 54.10 days, but it remained relatively lower compared to the initial years, indicating continued efficiency in collections.
- By December 31, 2024, the DSO increased to 58.31 days, reflecting a slight uptick in the average collection period compared to the previous year, yet it remained significantly lower than the baseline year of 2020.

Overall, the decreasing trend in Days Sales Outstanding from 2020 to 2022 suggests that Dow Inc has been effective in managing its receivables and improving its collection efficiency. However, the slight increase in DSO in 2023 and 2024 may warrant further monitoring to ensure that the company maintains a balanced approach in managing its receivables in the future.

Peer comparison

Dec 31, 2024