Ecolab Inc (ECL)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		5.12	5.00	4.90	4.82	5.16
DSO	days	71.22	73.04	74.49	75.78	70.68

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.12
= 71.22

The days of sales outstanding (DSO) for Ecolab, Inc. have shown a somewhat fluctuating trend over the past five years.

In 2019, the DSO was at its lowest point at 71.75 days, indicating that the company was able to collect its accounts receivable relatively quickly. However, in 2020, there was a slight increase to 75.61 days, suggesting that the collection of receivables may have taken a bit longer that year.

The trend continued in 2021 and 2022, with DSO figures of 75.38 days and 74.15 days respectively, showing a slight improvement from the previous year.

By the end of 2023, the DSO had decreased to 71.98 days, approaching the lower levels seen in 2019. This improvement could indicate that the company's accounts receivable management processes were more effective in collecting outstanding payments from customers.

Overall, while there have been fluctuations in the DSO over the years, the general trend seems to be towards improved efficiency in collecting receivables, which is a positive sign for Ecolab, Inc.'s financial health.