Middleby Corp (MIDD)
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 | 6.28 | 6.46 | 6.37 | — | 6.43 | — | — | — | 5.63 | — | — | — | — | — | — | — | — | — | — | — | |
| DSO | days | 58.16 | 56.54 | 57.28 | — | 56.73 | — | — | — | 64.81 | — | — | — | — | — | — | — | — | — | — | — |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.28
= 58.16
Days Sales Outstanding (DSO) is a measure that indicates the average number of days it takes for a company to collect revenue after making a sale. A lower DSO value is generally favorable as it suggests quicker collections and better cash flow management.
Based on the provided data for Middleby Corp, we observe fluctuations in the DSO over the recent periods. As of December 31, 2023, the DSO stands at 58.16 days, showing a slight increase from the September 30, 2023 value of 56.54 days. This implies that, on average, the company took 58.16 days to collect revenue from sales made during that period.
Looking at the trend over the past few quarters, there was a decline in DSO from December 2022 (56.73 days) to September 2023 (56.54 days), indicating improvement in collections efficiency. However, the increase in DSO in the latest quarter could warrant further investigation into the company's receivables management practices.
It is notable that there are missing data points in some quarters, which limits a comprehensive trend analysis. It would be beneficial to analyze the reasons behind any significant variations in DSO to assess the effectiveness of Middleby Corp's credit and collection policies, customer payment behavior, and overall financial health.
Peer comparison
Dec 31, 2023