ELF Beauty Inc (ELF)

Days of sales outstanding (DSO)

		Mar 31, 2024	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
Receivables turnover		8.28	7.36	8.84	7.42	8.49	7.47	8.28	7.95	8.56	8.00	8.28	8.06	7.84	6.66	8.52	9.49	9.35	7.63	9.63	14.44
DSO	days	44.09	49.59	41.30	49.21	42.99	48.89	44.10	45.88	42.65	45.62	44.06	45.26	46.58	54.77	42.83	38.47	39.03	47.87	37.90	25.27

March 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.28
= 44.09

The Days Sales Outstanding (DSO) ratio for ELF Beauty Inc has shown some fluctuations over the past few quarters. From March 2020 to March 2023, the DSO ranged from 25.27 days to 49.21 days, indicating variability in the time it takes for the company to collect its accounts receivable.

Notably, the DSO decreased from 49.21 days in December 2023 to 44.09 days in March 2024, suggesting an improvement in the company's collection efficiency during this period. However, it's essential to monitor trends over multiple quarters to assess the overall effectiveness of accounts receivable management.

Analyzing the DSO over time can provide insights into the company's credit policies, customer payment behavior, and potential liquidity challenges. It is advisable for investors and stakeholders to evaluate DSO in conjunction with other financial ratios and performance metrics to gain a comprehensive understanding of ELF Beauty Inc's financial health and operational efficiency.