FMC Corporation (FMC)
Days of sales outstanding (DSO)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 1.66 | 1.93 | 1.93 | 1.81 | 2.03 | 2.15 | 1.87 | 1.81 | 1.95 | 1.91 | 1.78 | 1.81 | 1.99 | 2.19 | 1.97 | 1.90 | 2.07 | 2.48 | 2.04 | 1.90 | |
| DSO | days | 220.48 | 188.65 | 189.25 | 201.34 | 180.13 | 169.69 | 194.91 | 201.69 | 187.31 | 191.17 | 205.26 | 201.57 | 183.23 | 166.48 | 185.18 | 192.37 | 176.66 | 147.42 | 178.91 | 191.92 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 1.66
= 220.48
To analyze FMC Corp.'s Days Sales Outstanding (DSO) over the past eight quarters, we observe the trend in terms of how many days it takes on average for the company to collect its accounts receivable. From the data provided, we note that there has been some fluctuation in DSO over the quarters, indicating variations in the efficiency of the company's accounts receivable management.
In Q4 2023, the DSO stands at 219.90 days, which is higher compared to the previous quarter but significantly higher compared to the same quarter in the previous year. This increase suggests that FMC Corp. may be experiencing challenges in collecting payments from its customers promptly, potentially impacting its cash flow.
In Q3 2023, the DSO was 188.62 days, showing an improvement from the previous quarter. However, it is still higher compared to the same quarter in the previous year. This indicates that the company's accounts receivable turnover has been slower compared to the earlier periods.
Overall, the trend in DSO for FMC Corp. reflects some inconsistency in the company's ability to efficiently manage its accounts receivable. Further analysis would be required to identify the underlying reasons for the fluctuations and to determine if any actions need to be taken to improve the efficiency of the company's accounts receivable management.
Peer comparison
Dec 31, 2023