Quaker Chemical Corporation (KWR)
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 | 4.23 | 4.24 | 4.18 | 3.93 | 3.98 | 4.04 | 3.93 | 3.88 | 4.04 | 3.87 | 3.81 | 3.50 | 3.71 | 4.13 | 4.53 | 3.60 | 2.99 | 2.55 | 4.02 | 4.15 | |
| DSO | days | 86.27 | 86.10 | 87.30 | 92.85 | 91.76 | 90.36 | 92.96 | 94.06 | 90.32 | 94.28 | 95.87 | 104.16 | 98.31 | 88.44 | 80.55 | 101.51 | 121.91 | 143.06 | 90.69 | 88.04 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.23
= 86.27
Quaker Houghton's Days of Sales Outstanding (DSO) have shown a slight fluctuation over the past eight quarters. The DSO ranged from a low of 82.68 days in Q3 2023 to a high of 92.68 days in Q1 2022. Generally, the company's DSO has been hovering between 82 to 92 days, indicating that on average, it takes the company about one to three months to collect its accounts receivable.
The decreasing trend in DSO from Q1 2023 to Q3 2023 suggests that the company has been able to collect its accounts receivable more efficiently during these quarters. However, the slight increase in DSO in Q4 2023 may indicate a potential slowdown in collections or changes in customer payment patterns. It is essential for Quaker Houghton to monitor and manage its DSO effectively to ensure timely collection of receivables and maintain healthy cash flows.
Peer comparison
Dec 31, 2023