Brinker International Inc (EAT)
Days of sales outstanding (DSO)
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 72.86 | 67.87 | 53.65 | 37.84 | 35.10 | |
| DSO | days | 5.01 | 5.38 | 6.80 | 9.64 | 10.40 |
June 30, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 72.86
= 5.01
The Days of Sales Outstanding (DSO) for Brinker International Inc have shown a consistent improvement over the past five years. In Jun 2020, the DSO was 10.40 days, which has steadily decreased to 5.01 days as of Jun 2024. This suggests that the company has become more efficient in collecting its accounts receivable over the years.
A lower DSO indicates that the company is able to convert its accounts receivable into cash more quickly, which is a positive indicator of its liquidity and operational efficiency. Brinker International Inc's decreasing DSO trend implies that it has been successful in managing its credit policies, improving collection processes, and maintaining strong customer relationships.
Overall, the declining trend in DSO for Brinker International Inc reflects positively on the company's financial health and management of its accounts receivable.
Peer comparison
Jun 30, 2024