Jacobs Solutions Inc. (J)
Days of sales outstanding (DSO)
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 4.60 | 4.43 | 4.59 | 4.27 | 4.48 | |
| DSO | days | 79.31 | 82.39 | 79.49 | 85.52 | 81.39 |
September 30, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.60
= 79.31
To analyze Jacobs Solutions Inc.'s days of sales outstanding (DSO) over the past five years, we observe a fluctuating trend. The DSO for the fiscal year ending September 30, 2023, stood at 79.31 days, representing a decline from the previous year. This reduction in DSO indicates that the company took fewer days, on average, to collect its accounts receivable in the most recent period.
Comparing the DSO for the past five years, there appears to be some variability in the company's collection efficiency. While the DSO decreased in 2023 compared to 2022, it was slightly higher than in 2021. However, looking back to 2020 and 2019, the DSO figures were higher, indicating that the company took longer to collect its receivables during those years.
Overall, the trend in Jacobs Solutions Inc.'s DSO suggests that the company has made improvements in managing its accounts receivable and collecting payments more efficiently in the most recent fiscal year. This could be a positive signal of effective credit control and liquidity management within the company. Monitoring DSO trends can provide valuable insights into the efficiency of a company's credit and collections process, which are essential for maintaining a healthy cash flow position.
Peer comparison
Sep 30, 2023