Mercury Systems Inc (MRCY)
Days of sales outstanding (DSO)
| Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 7.50 | 9.15 | 10.82 | 10.14 | 7.81 | 8.05 | 6.86 | 6.03 | 6.84 | — | 7.54 | — | 7.17 | — | — | — | — | — | — | — | |
| DSO | days | 48.70 | 39.89 | 33.74 | 36.00 | 46.75 | 45.36 | 53.24 | 60.50 | 53.37 | — | 48.38 | — | 50.88 | — | — | — | — | — | — | — |
June 30, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 7.50
= 48.70
The days of sales outstanding (DSO) for Mercury Systems Inc have been fluctuating over the past few quarters. DSO measures how long it takes for a company to collect its accounts receivable, with a lower number indicating faster collections.
Based on the available data, we can see that DSO has generally improved from a high of 60.5 days on September 30, 2022, to a low of 33.74 days on December 31, 2023. This downward trend signifies that the company has been more efficient in collecting payments from customers.
However, there have been some periods where DSO increased, such as the rise to 48.7 days on June 30, 2024, which may suggest a potential slowdown in collections efficiency. It is important for the company to closely monitor its accounts receivable management to ensure timely collections and optimize cash flow.
Overall, Mercury Systems Inc should continue to focus on maintaining a healthy balance between extending credit to customers and effectively managing collections to keep DSO at an optimal level.
Peer comparison
Jun 30, 2024