Dorian LPG Ltd (LPG)
Days of sales outstanding (DSO)
| 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 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 10.58 | 4.88 | 7.36 | 5.89 | 5.10 | 3.89 | 5.43 | 4.61 | 4.68 | 6.19 | 10.42 | 6.97 | 5.60 | 4.10 | 5.57 | 7.13 | 4.93 | 3.90 | 3.50 | 2.92 | |
| DSO | days | 34.51 | 74.81 | 49.58 | 62.01 | 71.50 | 93.73 | 67.27 | 79.12 | 78.05 | 58.92 | 35.04 | 52.39 | 65.15 | 89.04 | 65.52 | 51.16 | 74.08 | 93.66 | 104.26 | 124.92 |
March 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 10.58
= 34.51
Dorian LPG Ltd's Days of Sales Outstanding (DSO) has shown fluctuations over the last few quarters. DSO measures the average number of days it takes for a company to collect payments after making a sale. A lower DSO indicates that the company is collecting payments faster, which can be a positive sign of efficient cash flow management.
In the most recent quarter ending March 31, 2024, the DSO stood at 34.51 days, significantly lower compared to the previous quarter. This decrease is a positive indicator as it suggests that Dorian LPG Ltd may be improving its collection process and converting sales into cash more efficiently.
Looking back over the last few quarters, there have been periods of higher DSO, such as in September 2019 and December 2019, where the DSO exceeded 100 days. This could indicate potential issues with accounts receivable management during those periods.
It is essential for Dorian LPG Ltd to monitor its DSO closely to ensure timely collections and healthy cash flow. By continuing to focus on improving collection processes and managing accounts receivable effectively, the company can aim to maintain a lower DSO figure in the future, which can contribute to overall financial health and operational efficiency.