Fox Factory Holding Corp (FOXF)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 8.47 | 7.98 | 9.08 | 7.26 | 8.16 | |
| DSO | days | 43.11 | 45.76 | 40.20 | 50.26 | 44.71 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.47
= 43.11
Fox Factory Holding Corp's Days Sales Outstanding (DSO) measures the average number of days the company takes to collect revenue after making a sale. A lower DSO indicates that the company is collecting its accounts receivable more quickly, which is generally favorable.
Over the past five years, Fox Factory Holding Corp's DSO has shown some variability. In 2023, the DSO decreased to 43.11 days from 45.76 days in 2022, indicating an improvement in collecting payments. This trend is positive as it suggests that the company managed its accounts receivable more efficiently in 2023 compared to the prior year.
Comparing the DSO to earlier years, the company's DSO was higher in 2020 and 2019 at 50.26 days and 44.71 days, respectively, showing that Fox Factory Holding Corp has made progress in managing its accounts receivable more effectively in recent years.
Overall, the decreasing trend in DSO for Fox Factory Holding Corp implies that the company has been successful in optimizing its collections process and potentially improving cash flow by converting sales into cash more rapidly.
Peer comparison
Dec 31, 2023