Olin Corporation (OLN)
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 | 437.57 | 251.33 | 234.69 | 290.30 | 214.09 | 364.65 | 1,184.06 | 7,525.75 | 28,122.33 | 2,635.27 | 112.04 | 449.46 | 367.56 | 240.15 | 308.68 | 291.26 | 7.81 | 7.28 | 9.86 | 12.65 | |
| DSO | days | 0.83 | 1.45 | 1.56 | 1.26 | 1.70 | 1.00 | 0.31 | 0.05 | 0.01 | 0.14 | 3.26 | 0.81 | 0.99 | 1.52 | 1.18 | 1.25 | 46.72 | 50.12 | 37.03 | 28.86 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 437.57
= 0.83
To analyze Olin Corp.'s days of sales outstanding (DSO), which measures the average number of days it takes for the company to collect revenue after a sale is made, we will look at the trend over the past eight quarters.
The DSO for Olin Corp. has fluctuated over the quarters, ranging from a low of 37.67 days in Q4 2022 to a high of 48.45 days in Q2 2022. In the most recent quarter, Q4 2023, the DSO was 47.54 days, slightly higher than the previous quarter's 46.78 days.
Overall, there appears to be a slight upward trend in the DSO over the past two years, indicating that the company may be taking slightly longer to collect its accounts receivable. This trend could be a potential concern as a higher DSO may indicate inefficiencies in the company's collection process or potential issues with customer creditworthiness.
It is important for Olin Corp. to closely monitor its DSO and implement strategies to improve collections efficiency, such as tightening credit policies, incentivizing early payments, or addressing payment issues with customers. By actively managing its DSO, the company can improve its cash flow and overall financial health.
Peer comparison
Dec 31, 2023