Pitney Bowes Inc (PBI)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 3.60 | 3.86 | 4.04 | 3.62 | 2.91 | |
| DSO | days | 101.28 | 94.63 | 90.34 | 100.70 | 125.23 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.60
= 101.28
The Days Sales Outstanding (DSO) for Pitney Bowes, Inc. have exhibited some fluctuation over the past five years. In 2023, the DSO increased to 101.22 days from the previous year's 93.73 days, indicating a longer average time taken by the company to collect revenue from its customers. This may suggest potential challenges in managing accounts receivable efficiently or changes in customer payment behavior.
Comparing to 2021, where the DSO was 88.96 days, the current DSO in 2023 is higher, signifying a deterioration in the company's collections process. However, when viewed in a broader context, the DSO in 2023 is lower than in the year 2019 when it stood at 114.23 days, indicating improvement in the company's ability to collect revenues more promptly.
Overall, Pitney Bowes, Inc. should continue to monitor and manage its DSO effectively to ensure timely collection of receivables and maintain healthy cash flows.