National HealthCare Corporation (NHC)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 10.47 | 10.83 | 11.12 | 11.35 | 10.25 | |
| DSO | days | 34.87 | 33.71 | 32.81 | 32.16 | 35.62 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 10.47
= 34.87
The days of sales outstanding (DSO) for National Healthcare Corp. have shown relatively consistent performance over the past five years. The DSO fluctuated within a narrow range between 33.81 days and 35.62 days during this period. This indicates that the company has been able to effectively manage its accounts receivable and collect payments from customers in a timely manner.
Despite some minor fluctuations year over year, the consistency in DSO suggests that National Healthcare Corp. has maintained a stable credit and collections process. A lower DSO value generally indicates a more efficient collection of accounts receivable, which is positive for the company's liquidity and cash flow management.
Overall, the stable DSO trend observed for National Healthcare Corp. suggests a disciplined approach to managing accounts receivable and a healthy financial position in terms of accounts receivable turnover and cash flow generation.
Peer comparison
Dec 31, 2023