Lancaster Colony Corporation (LANC)
Days of sales outstanding (DSO)
| Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 19.59 | 18.26 | 18.64 | 15.48 | 15.85 | 13.95 | 13.86 | 12.55 | 12.37 | 14.61 | 14.92 | 13.93 | 14.98 | 14.33 | 15.61 | 13.88 | 15.41 | 15.26 | 17.31 | 14.51 | |
| DSO | days | 18.63 | 19.99 | 19.58 | 23.58 | 23.02 | 26.17 | 26.34 | 29.08 | 29.50 | 24.98 | 24.46 | 26.20 | 24.36 | 25.48 | 23.38 | 26.29 | 23.69 | 23.93 | 21.09 | 25.16 |
June 30, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 19.59
= 18.63
The Days Sales Outstanding (DSO) ratio for Lancaster Colony Corporation has shown fluctuations over the past few quarters. DSO measures the average number of days a company takes to collect revenue after a sale has been made. Generally, a lower DSO indicates efficient collections, while a higher DSO may suggest potential issues with accounts receivable management.
Looking at the trend for Lancaster Colony Corporation, we observe that the DSO has ranged from a low of 18.63 days to a high of 29.50 days over the past few quarters. In recent periods, the DSO has been relatively stable, hovering around the mid-20s, showing consistent collection efficiency. This indicates that the company is managing its accounts receivable effectively, collecting revenue in a timely manner.
It is important for the company to monitor and analyze the DSO trend regularly to ensure that collections remain efficient and do not deteriorate over time. By maintaining a stable or decreasing DSO, Lancaster Colony Corporation can optimize its cash flow and working capital management, which is essential for long-term financial health.
Peer comparison
Jun 30, 2024