Johnson Controls International PLC (JCI)
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 | 4.43 | 4.42 | 4.01 | 4.31 | 4.42 | 4.35 | 4.24 | 4.31 | 4.27 | 4.10 | 4.05 | 4.27 | 4.20 | 3.99 | 4.19 | 4.27 | 4.25 | 4.25 | 5.13 | 5.71 | |
| DSO | days | 82.32 | 82.56 | 90.93 | 84.75 | 82.54 | 83.83 | 86.07 | 84.65 | 85.57 | 89.08 | 90.11 | 85.57 | 86.81 | 91.56 | 87.15 | 85.57 | 85.93 | 85.98 | 71.11 | 63.92 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.43
= 82.32
To analyze Johnson Controls International plc's days of sales outstanding (DSO) trend, we will look at the DSO figures from the given dates. DSO measures the average number of days it takes for a company to collect payment after making a sale. A lower DSO indicates that the company is able to collect payments more quickly, which can be a sign of effective credit and collection policies.
Looking at the data, we observe that the DSO has fluctuated over the past eight quarters, ranging from a low of 79.75 days to a high of 89.70 days. The trend indicates some volatility in the company's collection process.
Comparing the most recent DSO of 82.27 days to the previous quarters, we notice a slight increase from the September 30, 2023, DSO of 81.82 days. However, it is important to note that the current DSO is still within the range observed over the past two years.
The analysis suggests that Johnson Controls International plc's DSO has been relatively consistent, with some variability in the collection period. Management may want to focus on maintaining a stable and efficient collection process to ensure timely inflow of cash from sales.
In conclusion, while the DSO has shown some fluctuation, it is important to monitor any prolonged increases in DSO, as this could potentially indicate inefficiencies in the company's credit and collection practices.
Peer comparison
Dec 31, 2023
See also:
Johnson Controls International PLC Average Receivable Collection Period (Quarterly Data)