Flowers Foods Inc (FLO)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		14.73	13.75	13.61	14.52	12.81
DSO	days	24.78	26.54	26.82	25.14	28.48

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 14.73
= 24.78

The Days of Sales Outstanding (DSO) for Flowers Foods Inc have shown a fluctuating trend over the past five years. In 2023, the DSO decreased to 24.78 days from 26.54 days in 2022. This indicates that the company has been able to collect its accounts receivable more efficiently in 2023 compared to the previous year.

Looking back at 2021 and 2020, the DSO was slightly lower at 26.82 days and 25.14 days, respectively. However, there was a noticeable increase in 2019 with a DSO of 28.48 days. This suggests that in 2019, Flowers Foods took longer to collect its accounts receivable compared to the more recent years.

Overall, the decreasing trend in DSO from 2019 to 2023 reflects an improvement in the company's ability to collect outstanding receivables in a timelier manner. It demonstrates better efficiency in managing its accounts receivable, which is a positive sign for cash flow management and liquidity for Flowers Foods Inc.