New York Times Company (NYT)

The Days of Sales Outstanding (DSO) ratio measures the average number of days it takes for a company to collect payment after a sale has been made. A lower DSO indicates a faster collection of accounts receivable and better liquidity management.

Analyzing the DSO trend for New York Times Co. over the past five years, we observe fluctuations in the collection period. The DSO stood at 36.48 days at the end of 2023, showing a slight increase from the previous year. This suggests that the company took slightly longer to collect payments from customers in 2023 compared to 2022.

In 2022, the DSO was 34.40 days, indicating an improvement in collection efficiency from the prior year when it was 40.97 days in 2021. The significant decrease in DSO from 2021 to 2022 could imply more effective credit control or prompt payment from customers.

Looking further back, the DSO was 37.59 days in 2020 and 42.98 days in 2019. The decrease in DSO from 2020 to 2021 followed by a subsequent increase in 2022 indicates some variability in New York Times Co.'s accounts receivable management.

Overall, while the company's DSO has fluctuated over the years, a general downward trend from 2019 to 2022 suggests an improvement in the efficiency of collecting sales proceeds. However, the slight uptick in DSO in 2023 implies that New York Times Co. may need to focus on enhancing its accounts receivable management to ensure timely collection of payments and maintain liquidity.

Peer comparison

Dec 31, 2023