Expedia Group Inc. (EXPE)

Days of sales outstanding (DSO)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Receivables turnover		4.18	4.42	5.35	6.20	6.06
DSO	days	87.37	82.50	68.25	58.90	60.21

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.18
= 87.37

Days Sales Outstanding (DSO) is a key metric that indicates the average number of days it takes for a company to collect payment after making a sale. A lower DSO value generally reflects a more efficient collection process and liquidity position for the company.

Analyzing the DSO trend of Expedia Group Inc. over the years reveals fluctuations in their collection efficiency.

- As of December 31, 2020, the DSO stood at 60.21 days, indicating a decent performance in collecting receivables.
- By December 31, 2021, the DSO improved slightly to 58.90 days, suggesting enhanced efficiency in collecting payments from customers.
- However, by December 31, 2022, the DSO increased to 68.25 days, signaling a potential slowdown in the collection process.
- The DSO further increased to 82.50 days by December 31, 2023, indicating a longer period for the company to collect payments.
- As of December 31, 2024, the DSO reached 87.37 days, showing a significant increase in the average collection period, which may raise concerns about liquidity management and potential cash flow challenges.

Overall, the increasing trend in DSO for Expedia Group Inc. from 2020 to 2024 may require the company to review and optimize its credit policies, collection procedures, and customer payment terms to efficiently manage its working capital and cash flow.