Expeditors International of Washington Inc (EXPD)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		6.06	8.09	4.33	5.05	6.21
DSO	days	60.28	45.13	84.23	72.27	58.78

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.06
= 60.28

Expeditors International Of Washington, Inc.'s Days Sales Outstanding (DSO) has been fluctuating over the past five years. In 2019, the DSO was 58.71 days, showing a relatively efficient collection of accounts receivable. However, in 2020, the DSO increased to 72.09 days, indicating that the company took longer to collect payments from customers that year.

In 2021, the DSO surged to 84.17 days, reaching its highest level in the period under review. This may suggest challenges in managing accounts receivable and collecting payments promptly. Subsequently, the DSO decreased in 2022 to 45.06 days, reflecting an improvement in the collection process and potentially better credit management practices.

As of December 31, 2023, Expeditors International Of Washington, Inc.'s DSO stood at 60.15 days, higher than the previous year but lower than the peak in 2021. This indicates that the company is taking slightly longer to collect outstanding sales compared to the previous year. It will be important for the company to monitor its DSO closely to ensure efficient cash flow management and timely collection of accounts receivable.