Flowserve Corporation (FLS)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 4.77 | 4.07 | 4.47 | 4.82 | 4.91 | |
| DSO | days | 76.44 | 89.68 | 81.66 | 75.69 | 74.27 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.77
= 76.44
Flowserve Corp.'s Days Sales Outstanding (DSO) has exhibited fluctuations over the past five years. In 2023, the DSO decreased from 87.70 days in 2022 to 74.50 days, indicating an improvement in the collection process. Despite the reduction, it is noteworthy that the DSO in 2023 is still higher than both 2021 and 2020 levels. This suggests that Flowserve Corp. may still have room for further optimization in managing its accounts receivable and collections. Overall, a lower DSO is generally favorable as it indicates that the company is collecting its accounts receivable more efficiently, which can positively impact liquidity and working capital management.
Peer comparison
Dec 31, 2023