Howmet Aerospace Inc (HWM)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 9.28 | 10.12 | 10.87 | 8.16 | 9.56 | |
| DSO | days | 39.33 | 36.08 | 33.58 | 44.72 | 38.17 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 9.28
= 39.33
The Days Sales Outstanding (DSO) for Howmet Aerospace Inc has shown varying trends over the past five years.
In 2023, the DSO increased to 38.04 days from 34.61 days in 2022. This indicates that on average, it took the company 38.04 days to collect its accounts receivable in 2023.
Comparing 2023 to 2021, there was a noticeable increase in DSO from 30.83 days to 38.04 days. This uptrend suggests that it took Howmet Aerospace Inc longer to collect its outstanding receivables in 2023 compared to 2021.
On the other hand, the DSO in 2020 was lower at 24.78 days, indicating that the company was able to collect its receivables more efficiently in that year.
Looking back at 2019, the DSO was at 37.32 days, which is slightly lower than the DSO in 2023. This suggests that the efficiency of accounts receivable collection improved slightly in 2023 compared to 2019.
Overall, the trend in DSO for Howmet Aerospace Inc reflects fluctuations in the efficiency of collecting receivables over the past five years. The company may want to focus on optimizing its accounts receivable management to improve cash flow and overall financial performance.
Peer comparison
Dec 31, 2023