MaxLinear Inc (MXL)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 4.06 | 6.55 | 7.45 | 7.10 | 6.29 | |
| DSO | days | 89.83 | 55.71 | 48.97 | 51.43 | 58.01 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.06
= 89.83
To analyze MaxLinear Inc's days of sales outstanding (DSO) over the past five years, we can observe a fluctuating trend. The DSO for the company was 89.83 days at the end of 2023, significantly higher than the previous year's 55.71 days. This suggests that the company took longer to collect its accounts receivable in 2023 compared to 2022.
Looking back further, the DSO was 48.97 days at the end of 2021, showing an increase from the previous year's 76.42 days at the end of 2020. However, the DSO decreased from 58.01 days at the end of 2019 to 48.97 days at the end of 2020.
The increase in DSO from 2022 to 2023 could indicate potential issues with the company's credit and collection policies, customer payment behavior, or changes in sales terms. Conversely, the decrease in DSO from 2019 to 2020 suggests improved efficiency in receivables collection.
It is essential for stakeholders to delve further into the reasons behind these fluctuations to assess the company's ability to effectively manage its accounts receivable and maintain healthy cash flows.
Peer comparison
Dec 31, 2023