Johnson Controls International PLC (JCI)
Days of sales outstanding (DSO)
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 3.73 | 4.39 | 4.35 | 4.11 | 3.99 | |
| DSO | days | 97.92 | 83.07 | 83.83 | 88.81 | 91.56 |
September 30, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.73
= 97.92
The days of sales outstanding (DSO) for Johnson Controls International PLC have shown fluctuating trends over the past five years. In the most recent fiscal year ending September 30, 2024, the DSO increased to 97.92 days compared to 83.07 days in the previous year, indicating that the company took longer to collect its accounts receivable. This prolonged collection period may raise concerns about the company's efficiency in managing its receivables or potential issues with customer creditworthiness.
While the DSO for 2024 was higher, it was still lower than the DSO in 2020 and 2021. This suggests that the company has demonstrated some improvement in its accounts receivable management efficiency over the past three years. However, it would be important for Johnson Controls International PLC to closely monitor and address any ongoing increase in DSO to ensure timely collection of receivables and maintain healthy cash flow.
Overall, the analysis of Johnson Controls' DSO indicates a mixed performance in managing accounts receivable, with potential room for improvement in enhancing collection efficiency and liquidity management.
Peer comparison
Sep 30, 2024
See also:
Johnson Controls International PLC Average Receivable Collection Period