Guidewire Software Inc (GWRE)

The analysis of Guidewire Software Inc.'s Days of Sales Outstanding (DSO) over the specified period indicates notable fluctuations with a general trend toward improvement in recent years.

As of July 31, 2021, the DSO was approximately 94.74 days, reflecting the average number of days it took the company to collect sales receivables. This metric increased significantly by July 31, 2022, reaching approximately 102.16 days, indicating a slowdown in receivables collection efficiency. The trend continued into July 31, 2023, with the DSO slightly rising to approximately 103.41 days, suggesting ongoing challenges or changes in receivables management, possibly due to customer credit policies or shifts in the customer base.

However, the latest data point as of July 31, 2024, shows a marked improvement, with the DSO decreasing to approximately 90.15 days. This reduction signifies an enhancement in the company's collection processes and cash flow management. Further improvement is evident in the most recent period, July 31, 2025, where the DSO declines further to approximately 82.44 days, approaching levels observed in the earlier part of the review period.

Overall, despite fluctuations, the most recent years demonstrate a positive trend toward reduced DSO, which can be indicative of improved credit and collections practices, increased cash flow efficiency, or strategic adjustments in receivables management. It is important to consider these figures in conjunction with other operational and financial metrics to ascertain the underlying reasons and implications for the company’s financial health and liquidity position.