Match Group Inc (MTCH)
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 | 11.27 | 11.40 | 11.80 | 12.37 | 16.61 | 18.39 | 17.56 | 17.25 | 15.83 | 15.53 | 10.28 | 11.93 | 17.45 | 11.45 | 11.74 | 5.67 | 6.67 | 7.36 | 8.64 | 10.79 | |
| DSO | days | 32.40 | 32.01 | 30.94 | 29.51 | 21.97 | 19.84 | 20.79 | 21.16 | 23.06 | 23.50 | 35.50 | 30.58 | 20.92 | 31.87 | 31.09 | 64.37 | 54.74 | 49.56 | 42.23 | 33.83 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 11.27
= 32.40
DSO, or days of sales outstanding, is a financial ratio that indicates how many days, on average, it takes for a company to collect payment after making a sale. A lower DSO value is generally favorable, as it suggests that the company is collecting payments from customers more quickly.
Based on the data provided for Match Group Inc., we observe that the DSO has shown an increasing trend over the last four quarters. In Q1 2022, the DSO was 21.16 days, which then increased to 21.97 days in Q4 2022. The trend continued with the DSO reaching 29.51 days in Q1 2023. This increase in DSO may indicate that the company is taking longer to collect payments from its customers, which could potentially impact its cash flow and liquidity position.
It is essential for Match Group Inc. to monitor and analyze the reasons behind the increasing DSO trend. Factors such as changes in the company's credit policies, customer payment behaviors, or inefficiencies in the accounts receivable process could contribute to this rise in DSO. Addressing these factors promptly is important to maintain healthy cash flow management and optimize working capital efficiency.
Overall, the increasing trend in DSO for Match Group Inc. over the past four quarters warrants further investigation and proactive measures to improve collections and maintain financial stability.
Peer comparison
Dec 31, 2023