Inter Parfums Inc (IPAR)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 5.17 | 4.80 | 5.18 | 4.19 | 5.28 | |
| DSO | days | 70.62 | 76.09 | 70.47 | 87.14 | 69.18 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.17
= 70.62
The days of sales outstanding (DSO) for Inter Parfums, Inc. have shown some fluctuations over the past five years. In 2023, the DSO decreased to 70.62 days from 76.09 days in 2022, indicating an improvement in the collection of accounts receivable. However, compared to 2021 when the DSO was 70.47 days, there was a slight increase in 2023.
In 2020, the DSO was relatively high at 87.14 days, reflecting a longer period for collecting sales from customers. The company managed to significantly reduce this metric in 2021 and has since maintained a relatively stable DSO level.
Overall, Inter Parfums, Inc. has been effective in managing its accounts receivable turnover by reducing the DSO metric over the years. This indicates efficient credit management practices and a timely collection of sales revenues from customers, which is essential for maintaining healthy cash flows and liquidity.
Peer comparison
Dec 31, 2023