National HealthCare Corporation (NHC)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 9.62 | 9.58 | 10.78 | 9.27 | 10.47 | 10.77 | 10.74 | 10.44 | 10.83 | 11.16 | 11.06 | 10.83 | 11.12 | 10.52 | 10.38 | 9.92 | 11.35 | 11.91 | 11.68 | 9.83 | |
| DSO | days | 37.92 | 38.11 | 33.85 | 39.38 | 34.87 | 33.89 | 33.98 | 34.97 | 33.71 | 32.71 | 33.00 | 33.69 | 32.81 | 34.71 | 35.16 | 36.78 | 32.16 | 30.65 | 31.26 | 37.14 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 9.62
= 37.92
The Days Sales Outstanding (DSO) of National HealthCare Corporation has shown some fluctuations over the given time period. It indicates the average number of days a company takes to collect revenue after a sale has been made.
From March 31, 2020, to September 30, 2021, the DSO decreased steadily from 37.14 days to 34.71 days. This indicated an improvement in the company's collections efficiency. However, from September 30, 2021, to March 31, 2024, there were some fluctuations in the DSO, with values ranging from 32.71 days to 39.38 days.
Notably, the DSO spiked to 39.38 days on March 31, 2024, which could suggest potential challenges in collecting receivables efficiently or a change in the company's revenue recognition policies.
Overall, National HealthCare Corporation should monitor its DSO closely to ensure timely collection of receivables and maintain healthy cash flows. A rising DSO could indicate potential liquidity issues or inefficiencies in the company's operations.
Peer comparison
Dec 31, 2024