Keysight Technologies Inc (KEYS)

Days of sales outstanding (DSO)

		Oct 31, 2023	Oct 31, 2022	Oct 31, 2021	Oct 31, 2020	Oct 31, 2019
Receivables turnover		5.56	5.68	6.46	6.41	6.08
DSO	days	65.67	64.25	56.51	56.99	60.06

October 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.56
= 65.67

To analyze Keysight Technologies Inc's days of sales outstanding (DSO), we will assess the trend in DSO over the past five years. DSO measures the average number of days it takes for a company to collect payment after making a sale.

From 2019 to 2021, Keysight's DSO showed a decreasing trend, indicating an improvement in the efficiency of their accounts receivable collection process. This suggests that the company has been able to collect payments from its customers more quickly during this period.

However, in 2022 and 2023, there was a slight increase in DSO, which may indicate a potential slowdown in the collection of receivables. It is essential for the company to monitor this trend closely and take actions to ensure that the efficiency of its accounts receivable collection does not deteriorate further.

Overall, while there has been some fluctuation in DSO over the past five years, the general trend has been positive, reflecting improved efficiency in the collection of accounts receivable for Keysight Technologies Inc.