GE Aerospace (GE)
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 | 4.39 | 4.49 | 4.23 | 4.22 | 3.92 | 3.58 | 4.03 | 4.35 | 4.75 | 4.95 | 4.83 | 4.69 | 4.54 | 4.40 | 5.04 | 3.19 | 3.34 | 3.57 | 3.16 | 3.03 | |
| DSO | days | 83.07 | 81.23 | 86.26 | 86.58 | 93.17 | 101.94 | 90.50 | 83.93 | 76.84 | 73.78 | 75.50 | 77.88 | 80.34 | 83.05 | 72.47 | 114.54 | 109.42 | 102.17 | 115.38 | 120.48 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.39
= 83.07
Days of Sales Outstanding (DSO) is a key metric that measures how efficiently a company is managing its accounts receivable. A lower DSO value indicates that the company is collecting payments from its customers faster, which is generally favorable as it improves cash flow.
Analyzing the DSO trend of General Electric Co. over the past eight quarters, we observe fluctuations in the DSO values. In Q4 2023, the DSO was 83.07 days, representing an increase from the previous quarter's 75.51 days. Despite this uptick, the DSO value in Q4 2023 is still lower than Q4 2022, which stood at 85.71 days.
Looking at the broader trend, the DSO values have shown some variability throughout the quarters, with occasional increases and decreases. While it is essential to manage DSO effectively to ensure timely collections and liquidity, it is important to consider industry norms and company-specific factors that may influence DSO levels.
Further analysis of General Electric Co.'s DSO trend, in conjunction with other financial metrics and operational factors, would provide a more comprehensive understanding of the company's overall financial health and efficiency in managing its accounts receivable.
Peer comparison
Dec 31, 2023
See also:
GE Aerospace Average Receivable Collection Period (Quarterly Data)