Enerpac Tool Group Corp (EPAC)
Days of sales outstanding (DSO)
| Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 5.65 | 5.50 | 6.12 | 6.33 | 6.13 | 5.69 | 5.83 | 5.93 | 5.35 | 4.83 | 4.90 | 4.81 | 5.12 | 4.39 | 4.77 | 5.15 | 5.86 | 5.76 | 5.44 | 5.27 | |
| DSO | days | 64.60 | 66.42 | 59.64 | 57.67 | 59.58 | 64.13 | 62.60 | 61.52 | 68.21 | 75.63 | 74.47 | 75.88 | 71.27 | 83.09 | 76.48 | 70.90 | 62.28 | 63.37 | 67.08 | 69.28 |
August 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.65
= 64.60
Enerpac Tool Group Corp's days of sales outstanding (DSO) has shown fluctuations over the past few periods, ranging from 57.67 days to 83.09 days. DSO represents the average number of days it takes for a company to collect payment after making a sale. A lower DSO indicates quicker collections and better cash flow management.
Analyzing the trend, we observe that DSO has generally been within the range of 57 to 83 days, with some periods showing an improvement in collection efficiency (lower DSO) while others indicating a higher DSO, possibly due to extended credit terms or slower customer payments.
From Feb 2020 to May 2021, there was a consistent downward trend in DSO, indicating the company was improving its collection process and receiving payments more promptly. However, DSO increased from May 2021 to Aug 2023, reaching a peak of 83.09 days in May 2021, which might suggest potential challenges in collections during this period.
It is noteworthy that there was a decline in DSO from Aug 2023 to Feb 2024, which suggests an improvement in the company's receivables management. However, DSO increased in the latest period, standing at 64.60 days as of Aug 31, 2024, indicating a slight increase in the average collection period compared to the previous quarter.
Overall, Enerpac Tool Group Corp should continue monitoring its DSO closely to ensure efficient collections and optimize its cash flow position. A sustained focus on improving collection processes and timely follow-ups with customers could help in maintaining a healthy DSO figure.
Peer comparison
Aug 31, 2024