Neurocrine Biosciences Inc (NBIX)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 4.29 | 4.03 | 5.90 | 6.19 | 5.97 | |
| DSO | days | 85.14 | 90.50 | 61.85 | 59.00 | 61.10 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.29
= 85.14
Neurocrine Biosciences, Inc.'s Days Sales Outstanding (DSO) measures the average number of days it takes for the company to collect revenue after making a sale. Over the past five years, the trend in DSO for Neurocrine Biosciences, Inc. has fluctuated. In 2023, the DSO decreased to 84.97 days from 85.81 days in 2022, indicating a slight improvement in the company's ability to collect payments from customers.
Comparing the most recent DSO to historical data reveals a significant increase from 59.73 days in 2021 and 54.83 days in 2020. This indicates that Neurocrine Biosciences, Inc. may be experiencing challenges in collecting revenues efficiently.
However, when looking at 2019 data, the DSO in 2023 is still lower than the 58.62 days reported, suggesting that the company's collection process has improved compared to five years ago. Overall, Neurocrine Biosciences, Inc. should focus on strategies to manage its accounts receivable effectively to ensure timely collection of sales revenue.
Peer comparison
Dec 31, 2023