ON Semiconductor Corporation (ON)

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		6.10	6.89	8.79	9.34	8.82	8.70	8.84	9.47	9.89	9.41	6.69	7.91	8.33	8.81	8.84	7.99	7.77	7.16	7.90	8.30
DSO	days	59.79	52.96	41.53	39.08	41.37	41.94	41.28	38.55	36.92	38.78	54.53	46.15	43.83	41.45	41.29	45.71	46.95	51.00	46.18	44.00

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.10
= 59.79

The Days of Sales Outstanding (DSO) for ON Semiconductor Corporation has shown some fluctuations over the quarters in the provided data. DSO is a measure of how long it takes for a company to collect revenue after a sale has been made, indicating the efficiency of the company in managing its accounts receivable.

From March 31, 2020, to December 31, 2024, the DSO ranged from a low of 36.92 days to a high of 59.79 days. Initially, the DSO was 44.00 days on March 31, 2020, indicating that it took the company an average of 44 days to collect sales outstanding. The DSO increased to 51.00 days on September 30, 2020, before fluctuating between highs and lows in the subsequent quarters.

It is noteworthy that the DSO decreased to 38.78 days on September 30, 2022, indicating an improvement in collecting accounts receivable efficiency. However, by December 31, 2024, the DSO rose to 59.79 days, suggesting a potential issue in collecting sales promptly.

Overall, the trend in DSO for ON Semiconductor Corporation shows fluctuations, with periods of improvement and deterioration in collecting sales outstanding efficiently. Further analysis of the company's accounts receivable management and collection policies may be necessary to address the variations in the DSO metric.