Fortune Brands Innovations Inc. (FBIN)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 8.96 | 8.39 | 8.04 | 7.62 | 8.66 | 7.94 | 7.29 | — | 9.05 | 5.14 | 4.89 | 4.80 | 5.42 | 5.69 | 6.66 | 6.97 | 8.29 | 7.71 | 8.68 | 8.61 | |
| DSO | days | 40.74 | 43.48 | 45.40 | 47.87 | 42.15 | 45.94 | 50.04 | — | 40.33 | 71.05 | 74.63 | 76.00 | 67.33 | 64.18 | 54.81 | 52.40 | 44.04 | 47.33 | 42.06 | 42.39 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.96
= 40.74
Based on the data provided for Fortune Brands Innovations Inc., the days of sales outstanding (DSO) have exhibited fluctuations over the periods analyzed. DSO measures the average number of days a company takes to collect revenue after a sale is made.
From March 31, 2020, to December 31, 2022, the DSO trend remained relatively stable, ranging between 40 to 76 days. However, there was a notable decrease in DSO on December 31, 2022, when it dropped to 40.33 days, potentially indicating an improvement in the company's ability to collect receivables efficiently.
The DSO increased significantly in the subsequent quarters, reaching its peak on June 30, 2021, at 54.81 days. This prolonged collection period may suggest potential issues with accounts receivable management or changes in sales terms affecting cash flows.
From December 31, 2021, to December 31, 2024, the DSO continued to fluctuate but generally trended downwards, indicating a potential improvement in collections efficiency. Notably, as of December 31, 2024, the DSO stood at 40.74 days, a decrease from the peak observed in the prior periods.
Overall, monitoring the DSO trend can provide insights into Fortune Brands Innovations Inc.'s effectiveness in managing its accounts receivable and collecting payments from customers in a timely manner.
Peer comparison
Dec 31, 2024