Manhattan Associates Inc (MANH)

Days of sales outstanding (DSO)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Receivables turnover		4.98	5.11	4.60	5.23	5.27
DSO	days	73.31	71.44	79.43	69.80	69.24

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.98
= 73.31

Manhattan Associates Inc's Days Sales Outstanding (DSO) has exhibited some fluctuations over the past five years. As of December 31, 2020, the DSO stood at 69.24 days, showing efficient management of accounts receivable. However, by the end of December 2022, the DSO had increased to 79.43 days, indicating a potential delay in collecting receivables.

Despite the increase in 2022, Manhattan Associates Inc managed to reduce its DSO to 71.44 days by the end of December 2023, demonstrating efforts to improve the collection process. Subsequently, by December 31, 2024, the DSO slightly increased to 73.31 days compared to the previous year.

Overall, while there have been fluctuations in Manhattan Associates Inc's DSO over the years, it is important for the company to monitor and manage its accounts receivable efficiently to ensure timely collection and maintain healthy cash flows.