John Bean Technologies Corporation (JBT)
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 | 8.58 | 10.23 | 9.86 | 7.73 | 7.24 | 7.41 | 7.39 | 8.04 | 7.75 | 8.08 | 8.10 | 8.32 | 7.32 | 8.18 | 8.42 | 7.69 | 6.73 | 7.06 | 7.05 | 8.48 | |
| DSO | days | 42.57 | 35.67 | 37.03 | 47.23 | 50.38 | 49.28 | 49.38 | 45.38 | 47.08 | 45.20 | 45.07 | 43.89 | 49.88 | 44.62 | 43.36 | 47.44 | 54.20 | 51.69 | 51.76 | 43.05 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.58
= 42.57
To analyze John Bean Technologies Corp's Days of Sales Outstanding (DSO) trend, we examined the data for the past eight quarters. DSO is a metric used to evaluate how efficiently a company is able to collect its accounts receivable.
The DSO for the most recent quarter, Q4 2023, was 47.02 days, showing an increase from the previous quarter's DSO of 35.50 days in Q3 2023. This indicates that the company took longer to collect its accounts receivable in Q4 compared to Q3. However, when comparing with the same quarter in the previous year, Q4 2023 showed an improvement as the DSO was lower than Q4 2022's 50.39 days.
Looking at the trend over the past eight quarters, we observe fluctuations in DSO levels. The DSO ranged from the lowest at 35.50 days in Q3 2023 to the highest at 50.39 days in Q4 2022. Generally, a lower DSO is favorable as it implies quicker collection of receivables, while a higher DSO may indicate delayed collections or potential issues with credit policies.
It is essential for John Bean Technologies Corp to monitor its DSO closely and work towards maintaining an optimal level to ensure efficient cash flow management and effective accounts receivable collection processes. Further analysis of the underlying factors impacting DSO fluctuations, such as changes in credit terms, customer payment behaviors, and economic conditions, would provide valuable insights for the company's financial performance and liquidity management.
Peer comparison
Dec 31, 2023