Linde plc Ordinary Shares (LIN)

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 6.91 6.88 6.86 6.99 7.30 7.30 6.76 6.52 6.80 6.76 6.60 6.64 6.48 6.70 6.85 6.90 6.57 6.40 5.13 4.27
DSO days 52.81 53.07 53.18 52.20 49.98 49.98 53.99 55.99 53.68 54.00 55.27 54.96 56.33 54.49 53.28 52.88 55.56 57.02 71.18 85.52

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.91
= 52.81

Days Sales Outstanding (DSO) is a key metric that measures the average number of days a company takes to collect revenue after a sale is made. A lower DSO indicates better efficiency in collecting accounts receivable and liquidity management. Linde Plc.'s DSO has fluctuated over the past eight quarters, ranging from a low of 49.72 days in Q3 2022 to a high of 55.68 days in Q1 2022.

In Q4 2023, the DSO increased to 54.39 days from 52.77 days in the previous quarter, indicating a slight deterioration in its accounts receivable collection efficiency. However, the current DSO remains below the levels seen in Q1 and Q2 2022, suggesting that there has been some improvement in collecting receivables compared to those periods.

Overall, while there have been fluctuations in Linde Plc.'s DSO over the past eight quarters, the company has generally maintained a relatively stable collection period. It is important for the company to continue monitoring and managing its accounts receivable effectively to ensure efficient cash flow management and optimize working capital.

Peer comparison

Dec 31, 2023

Company name
Symbol
DSO
Linde plc Ordinary Shares
LIN
52.81
Air Products and Chemicals Inc
APD
60.86
Minerals Technologies Inc
MTX
68.62

See also:

Linde plc Ordinary Shares Average Receivable Collection Period (Quarterly Data)