Gentex Corporation (GNTX)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 7.14 | 6.94 | 6.93 | 5.93 | 7.90 | |
| DSO | days | 51.09 | 52.59 | 52.67 | 61.60 | 46.22 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 7.14
= 51.09
Gentex Corp.'s Days of Sales Outstanding (DSO) have exhibited fluctuations over the past five years. The trend showcases a decrease in DSO from 61.60 days in 2020 to 46.22 days in 2019, signifying a more efficient collection of accounts receivable during that period. However, there was an increase in DSO in subsequent years, reaching 52.67 days in 2021 and 52.59 days in 2022 before slightly improving to 51.09 days in 2023.
This increase in DSO in recent years may indicate potential challenges in collecting receivables promptly, which could potentially impact liquidity and cash flow levels. It is essential for Gentex Corp. to closely monitor and address factors contributing to the lengthening DSO trend to maintain financial health and efficiency in the collection of receivables.
Peer comparison
Dec 31, 2023