Gartner Inc (IT)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 3.74 | 5.24 | 4.63 | 3.78 | 3.51 | 4.98 | 4.29 | 3.64 | 3.43 | 4.64 | 3.89 | 3.48 | 3.22 | 4.29 | 3.94 | 3.68 | 3.15 | 4.32 | 3.92 | 3.64 | |
| DSO | days | 97.50 | 69.67 | 78.84 | 96.63 | 103.86 | 73.35 | 85.00 | 100.35 | 106.47 | 78.64 | 93.76 | 104.76 | 113.43 | 85.14 | 92.71 | 99.08 | 116.04 | 84.55 | 93.16 | 100.23 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.74
= 97.50
Based on the data provided, Gartner Inc.'s Days Sales Outstanding (DSO) has shown fluctuations over the past eight quarters.
In Q4 2023, the DSO stood at 98.94 days, indicating that on average, it takes the company approximately 98.94 days to collect its accounts receivable. This represents an increase from the previous quarter's DSO of 71.46 days, suggesting a potential inefficiency in the company's accounts receivable management during the latest period.
Comparing Q4 2023 to the same quarter in the prior year, there is a slight improvement as the DSO decreased from 103.77 days in Q4 2022 to 98.94 days in Q4 2023. This may signal better collections practices or a shift in the company's customer base towards those with shorter payment cycles.
Despite the quarterly fluctuations, it is essential for Gartner Inc. to monitor its DSO closely to ensure timely collections and efficient management of accounts receivable. A consistently high DSO may indicate potential liquidity issues or inefficiencies in the company's credit policy, collection procedures, or customer creditworthiness. On the other hand, a declining trend in DSO could signify improved cash flow management and stronger customer relationships.
Peer comparison
Dec 31, 2023