H B Fuller Company (FUL)
Days of sales outstanding (DSO)
| Mar 2, 2024 | Dec 2, 2023 | Sep 2, 2023 | Jun 3, 2023 | Mar 4, 2023 | Dec 3, 2022 | Aug 27, 2022 | May 28, 2022 | Feb 26, 2022 | Nov 27, 2021 | Aug 28, 2021 | May 29, 2021 | Feb 27, 2021 | Nov 28, 2020 | Aug 29, 2020 | May 30, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | Jun 1, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 6.68 | 6.07 | 6.19 | — | — | 6.17 | 5.68 | 5.54 | 5.53 | 5.33 | 5.51 | 5.18 | 5.68 | 5.42 | 5.78 | 6.22 | 6.27 | 5.87 | 6.03 | — | |
| DSO | days | 54.63 | 60.08 | 58.96 | — | — | 59.13 | 64.30 | 65.83 | 65.99 | 68.44 | 66.21 | 70.43 | 64.23 | 67.36 | 63.15 | 58.72 | 58.21 | 62.14 | 60.58 | — |
March 2, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.68
= 54.63
The Days Sales Outstanding (DSO) is a measure of how long it takes for a company to collect its accounts receivable from its customers. A lower DSO indicates that the company is collecting payments from customers more quickly, which is considered favorable as it enhances cash flow and liquidity.
Analyzing H B Fuller Company's DSO over the provided periods, we observe fluctuations in the metric. The DSO ranged from a low of 54.63 days to a high of 70.43 days over the past quarters. In general, lower DSO values, such as 54.63 days and 58.72 days, signify efficient collections, while higher values, like 70.43 days, could indicate delays in collecting receivables.
It is worth noting that some periods have missing data (indicated by "— days"), which makes it challenging to ascertain a consistent trend in DSO performance across all the periods.
To gain a deeper understanding of the effectiveness of H B Fuller Company in managing its receivables, it would be beneficial to compare the DSO with industry benchmarks or historical data of the company. Additionally, tracking any changes in customer payment behavior or credit policies could provide insights into the factors influencing the DSO figures.