DXP Enterprises Inc (DXPE)
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 | 5.22 | 5.07 | 4.92 | 4.96 | 4.49 | 4.73 | 4.56 | 5.09 | 4.80 | 4.79 | 4.92 | 5.42 | — | 6.65 | 7.49 | 6.38 | 6.66 | 5.99 | 5.92 | 6.21 | |
| DSO | days | 69.91 | 71.95 | 74.25 | 73.55 | 81.31 | 77.13 | 79.99 | 71.71 | 76.09 | 76.22 | 74.25 | 67.32 | — | 54.90 | 48.74 | 57.24 | 54.83 | 60.92 | 61.62 | 58.75 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.22
= 69.91
The Days Sales Outstanding (DSO) ratio for DXP Enterprises Inc has shown fluctuations over the periods provided. The DSO indicates the average number of days it takes for the company to collect revenue after making a sale.
From Dec 31, 2019, to Dec 31, 2020, the DSO increased steadily from 58.75 days to 81.31 days, indicating a longer time to collect revenue. However, a significant improvement was seen from Mar 31, 2020, to Jun 30, 2020, with the DSO decreasing to 48.74 days, suggesting more efficient collections processes.
Subsequently, the DSO decreased further on Sep 30, 2020, to a low of 54.90 days, potentially reflecting improved cash management. The trend continued positively until Mar 31, 2021, with a DSO of 67.32 days, then slightly dropped to 74.25 days on Jun 30, 2021.
From Sep 30, 2021, to Mar 31, 2022, the DSO stabilized around the mid-70s range, indicating consistent revenue collection practices. A notable improvement was observed from Mar 31, 2022, to Jun 30, 2022, as the DSO decreased to 71.71 days.
The DSO increased again from Jun 30, 2022, to Dec 31, 2022, reaching a high of 81.31 days, suggesting a potential delay in collections. The subsequent period showed a decrease in DSO to 73.55 days on Mar 31, 2023, which remained relatively stable.
The most recent data as of Dec 31, 2023, indicates a DSO of 69.91 days, demonstrating some improvement in collection efficiency compared to the previous periods.
Overall, the analysis of DXP Enterprises Inc's DSO shows fluctuations in revenue collection efficiency over time, highlighting the company's ability to manage accounts receivable and collect revenue promptly.
Peer comparison
Dec 31, 2023