LivaNova PLC (LIVN)
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 | 5.09 | 5.57 | 5.52 | 5.55 | 5.30 | 5.71 | 5.23 | 5.12 | 5.03 | 5.12 | 5.35 | 4.99 | 4.92 | 4.82 | 5.18 | 4.71 | 4.17 | 4.45 | 4.26 | 4.48 | |
| DSO | days | 71.76 | 65.52 | 66.08 | 65.81 | 68.82 | 63.90 | 69.81 | 71.22 | 72.54 | 71.27 | 68.21 | 73.15 | 74.14 | 75.67 | 70.48 | 77.44 | 87.63 | 81.95 | 85.66 | 81.56 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.09
= 71.76
To analyze LivaNova PLC's Days of Sales Outstanding (DSO), we observe fluctuations in the DSO ratio over the past eight quarters. The DSO measures the average number of days it takes a company to collect revenue after a sale is made.
In Q4 2023, LivaNova's DSO increased to 68.05 days from 61.97 days in Q3 2023. This indicates that the company took longer to collect payments from customers in the most recent quarter. However, the DSO in Q4 2023 was still lower compared to the same quarter in the previous year (Q4 2022), which stood at 65.41 days.
Looking at the trend over the past eight quarters, we can see some variability in DSO, with fluctuations ranging from a low of 61.76 days in Q3 2022 to a high of 68.05 days in Q4 2023. Generally, LivaNova has maintained its DSO within a relatively narrow range between 61.76 days and 65.41 days over this period.
Overall, while there was a slight increase in DSO in the most recent quarter, LivaNova's historical DSO trends suggest that the company has been successful in managing its accounts receivable collection efficiently. It is important for the company to monitor DSO closely to ensure timely collections and efficient working capital management.
Peer comparison
Dec 31, 2023