Laboratory Corporation of America Holdings (LH)
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 | 6.77 | 8.12 | 8.25 | 6.65 | 7.07 | 6.38 | 6.78 | 7.12 | 7.17 | 7.09 | 7.42 | 6.59 | 5.64 | 5.94 | 6.91 | 7.82 | 7.48 | 7.04 | 7.16 | 7.21 | |
| DSO | days | 53.92 | 44.97 | 44.25 | 54.93 | 51.64 | 57.18 | 53.87 | 51.24 | 50.89 | 51.49 | 49.22 | 55.37 | 64.75 | 61.46 | 52.84 | 46.69 | 48.77 | 51.83 | 50.95 | 50.59 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.77
= 53.92
The days of sales outstanding (DSO) for Laboratory Corp. Of America Holdings have exhibited some fluctuations over the past eight quarters. In Q4 2023, the DSO stood at 62.99 days, showing an improvement from the previous quarter's 55.66 days. This suggests that the company may have been successful in collecting its accounts receivables more efficiently during the period. Comparing the latest DSO to historical data, there appears to be a general trend of reducing DSO over the past year, indicating improved receivables management. However, the DSO in Q1 2023 experienced a notable increase to 75.45 days, which may warrant further investigation into the reasons behind this sudden spike. Overall, a trend of decreasing DSO is positive as it implies that the company is collecting payments faster, which can enhance cash flow and overall liquidity.
Peer comparison
Dec 31, 2023