NeoGenomics Inc (NEO)
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 | 4.58 | 4.38 | 4.42 | 4.45 | 4.24 | 4.41 | 4.37 | 4.37 | 4.30 | 4.60 | 4.58 | 4.39 | 4.14 | 4.10 | 4.61 | 4.19 | 4.34 | 4.15 | 3.81 | 3.74 | |
| DSO | days | 79.61 | 83.40 | 82.59 | 81.99 | 86.09 | 82.75 | 83.45 | 83.51 | 84.80 | 79.42 | 79.74 | 83.16 | 88.18 | 88.99 | 79.19 | 87.03 | 84.14 | 87.90 | 95.80 | 97.59 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.58
= 79.61
To analyze Neogenomics Inc.'s days of sales outstanding (DSO) performance, we can observe a fluctuating trend over the past eight quarters. The DSO ranged from 80.96 days to 85.72 days, indicating variability in the company's collection efficiency.
In the most recent quarter, Q4 2023, the DSO decreased to 80.96 days compared to the previous quarter, suggesting an improvement in the company's ability to collect payments from customers. This shorter collection period may signify effective credit management or increased efficiency in accounts receivable procedures.
Despite the quarter-over-quarter improvement, the DSO levels have shown inconsistency over the past two years, with values ranging between 80.96 days and 85.72 days. This variability implies potential challenges in maintaining a consistent collection cycle or potential shifts in customer payment behaviors.
To better understand Neogenomics Inc.'s DSO performance, it would be beneficial to compare these figures with industry benchmarks or historical data to assess relative efficiency and identify areas for operational enhancements. Additionally, monitoring DSO trends closely can help the company maintain optimal working capital levels and ensure timely cash inflows to support ongoing operations and growth initiatives.