Heritage Financial Corporation (HFWA)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | — | — | — | — | — | |
| DSO | days | — | — | — | — | — |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ —
= —
The days of sales outstanding (DSO) for Heritage Financial Corp. have fluctuated over the past five years. In 2023, the DSO decreased to 23.50 days from 26.34 days in 2022, indicating a more efficient collection of accounts receivable. This improvement suggests that the company has been able to convert its credit sales into cash more quickly compared to the previous year.
Looking back further, the DSO was higher in 2020 at 28.18 days and 2019 at 21.06 days. The decrease in 2023 compared to these years suggests a positive trend in managing accounts receivable, ultimately resulting in a shorter time period to collect outstanding payments from customers.
Overall, the trend in DSO for Heritage Financial Corp. indicates a positive direction in terms of accounts receivable management efficiency, which can potentially enhance the company's liquidity position and cash flow management.