Greif Bros Corporation (GEF)
Days of sales outstanding (DSO)
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 8.06 | 8.00 | 8.01 | 7.93 | 9.03 | 8.44 | 7.38 | 7.13 | 7.32 | 6.25 | 6.18 | 6.32 | 6.72 | 7.12 | 7.36 | 7.44 | 7.48 | 6.90 | 5.98 | 5.81 | |
| DSO | days | 45.31 | 45.64 | 45.59 | 46.02 | 40.44 | 43.25 | 49.44 | 51.17 | 49.84 | 58.40 | 59.08 | 57.76 | 54.34 | 51.26 | 49.62 | 49.07 | 48.79 | 52.87 | 61.04 | 62.84 |
January 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.06
= 45.31
Days Sales Outstanding (DSO) is a key metric used to evaluate how efficiently a company manages its accounts receivable. It indicates the average number of days it takes for a company to collect payments from its customers.
Looking at the trend of DSO for Greif Inc over the past eight quarters, we can see some fluctuations. In Q1 2024, the DSO was 45.27 days, which decreased slightly compared to the previous quarter at 46.12 days in Q4 2023. This suggests that Greif Inc improved its efficiency in collecting payments from customers during the first quarter of 2024.
Overall, the DSO for Greif Inc has shown some variability over the past two years, ranging from a low of 40.63 days in Q1 2023 to a high of 51.00 days in Q2 2022. Although there have been fluctuations, it is essential to consider industry benchmarks and peer comparisons to assess the company's performance effectively.
Further analysis would be required to determine the factors contributing to these fluctuations in DSO and evaluate whether Greif Inc's collection processes are in line with industry standards. Additionally, it would be valuable to monitor future trends in DSO to assess the company's ability to efficiently manage its accounts receivable in the long term.