Intuitive Surgical Inc (ISRG)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		6.74	6.95	7.63	7.04	7.10
DSO	days	54.16	52.51	47.85	51.83	51.38

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.74
= 54.16

Intuitive Surgical Inc's Days Sales Outstanding (DSO) has shown a slight increase over the past five years. DSO measures the average number of days a company takes to collect revenue after making a sale. The company's DSO was 57.91 days at the end of 2023, up from 55.26 days in 2022 and 50.03 days in 2021. This trend indicates that the company may be taking longer to collect its receivables, which could be a possible concern for its liquidity and working capital management. However, it's worth noting that the DSO levels are within a reasonable range for the industry and are not alarmingly high. Intuitive Surgical Inc should continue to monitor its DSO closely to ensure efficient management of its accounts receivable and cash flow.