Fastenal Company (FAST)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 6.75 | 6.87 | 6.67 | 7.33 | 7.17 | |
| DSO | days | 54.08 | 53.10 | 54.74 | 49.80 | 50.88 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.75
= 54.08
To analyze Fastenal Co.'s Days of Sales Outstanding (DSO) over the past five years, we observe a slight fluctuation in the DSO metric.
In 2023, the DSO was 54.03 days, showing a marginal increase from the previous year's figure of 52.98 days. This suggests that Fastenal Co. took slightly longer to convert its accounts receivable into cash in 2023 compared to 2022.
Looking further back, in 2021, the DSO was 54.66 days, which was higher than both 2023 and 2022. This implies that the company improved its efficiency in collecting receivables between 2021 and 2023.
In 2020 and 2019, the DSO figures were 49.73 days and 50.76 days, respectively. Both years showed lower DSO values compared to 2021 and 2022, indicating that in those years, Fastenal Co. was relatively better at managing its accounts receivable and converting them into cash swiftly.
Overall, while there have been minor fluctuations in Fastenal Co.'s Days of Sales Outstanding over the past five years, the company has generally maintained a reasonable level of efficiency in collecting payments from customers.
Peer comparison
Dec 31, 2023