Lamb Weston Holdings Inc (LW)

Days of sales outstanding (DSO)

May 31, 2025 Feb 28, 2025 Nov 30, 2024 Aug 31, 2024 May 31, 2024 May 26, 2024 Feb 29, 2024 Feb 25, 2024 Nov 30, 2023 Nov 26, 2023 Aug 31, 2023 Aug 27, 2023 May 31, 2023 May 28, 2023 Feb 28, 2023 Feb 26, 2023 Nov 30, 2022 Nov 27, 2022 Aug 31, 2022 Aug 28, 2022
Receivables turnover 8.25 8.91 9.32 8.79 8.25 8.41 8.67 8.95 8.87 8.82 9.25 8.68 8.14 7.56 10.11 9.85 9.44 9.20 10.13 9.75
DSO days 44.22 40.95 39.15 41.52 44.26 43.41 42.11 40.79 41.15 41.37 39.46 42.04 44.83 48.26 36.10 37.04 38.66 39.68 36.03 37.43

May 31, 2025 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.25
= 44.22

The analysis of Lamb Weston Holdings Inc's days of sales outstanding (DSO) over the observed period indicates moderate variability with an overall maintainance within a relatively consistent range. Initially, the DSO values recorded at the end of August 2022 were approximately 37.43 days, which slightly declined to around 36.03 days by the end of August 2022. Moving into late November 2022, the DSO increased to roughly 39.68 days, suggesting a minor elongation in the collection period, and remained near this level through the end of November.

Throughout the first quarter of 2023, the DSO displayed minimal fluctuation, with figures around 37 days. However, by late May 2023, there was a noticeable increase to approximately 48.26 days, indicating a significant extension in the collection period. This peak was followed by a decline to about 44.83 days at the end of May 2023, then stabilized somewhat around 42.04 days in late August 2023.

Subsequent data points through late 2023 and early 2024 reflect a pattern of fluctuations within a range of roughly 39 to 43 days, with the DSO reaching around 41.37 days at the end of November 2023. Early 2024 observations indicate a slight increase, with the DSO averaging around 40.8 days, before returning to approximately 44 days by the end of May 2024.

In late 2024 and early 2025, the DSO generally remained in the vicinity of 39 to 44 days, with figures such as 39.15 days in November 2024 and 40.95 days in February 2025, concluding with a reading of approximately 44.22 days in May 2025.

Overall, the DSO has exhibited periods of both stability and some upward shifts, notably peaking at nearly 48 days in late May 2023. These variations suggest evaluating the company’s credit policies and collection efficiency, as the elevated DSO levels potentially indicate delays in receivables collection during certain periods, which could impact the company's cash flow management strategies.


Peer comparison

May 31, 2025