Patterson Companies Inc (PDCO)
Days of sales outstanding (DSO)
| Apr 27, 2024 | Apr 29, 2023 | Apr 30, 2022 | Apr 24, 2021 | Apr 25, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 12.00 | 13.56 | 14.53 | 13.16 | 13.18 | |
| DSO | days | 30.41 | 26.93 | 25.11 | 27.73 | 27.69 |
April 27, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 12.00
= 30.41
To analyze Patterson Companies Inc's Days of Sales Outstanding (DSO) over the past five years, we observe a general trend of fluctuation. The DSO indicates the average number of days it takes for the company to collect payment from its customers.
In the latest fiscal year ending April 27, 2024, Patterson reported a DSO of 30.41 days, which represents an increase compared to the prior year's DSO of 26.93 days. This rise indicates that Patterson took longer to collect payments from customers in the most recent year, which may raise concerns about its accounts receivable management.
In the preceding years, the trend shows some variability. In April 2023, the DSO was 26.93 days, which was lower than the DSO of 25.11 days in April 2022 but higher than 27.73 days in April 2021 and 27.69 days in April 2020.
Overall, the fluctuating DSO figures suggest that Patterson's collection efficiency has not been consistent. Analyzing the reasons behind these fluctuations, such as changes in credit policies, customer payment behavior, or sales mix, would provide valuable insights into the company's financial operations and performance. Tracking and managing DSO effectively is crucial for maintaining healthy cash flows and working capital management.
Peer comparison
Apr 27, 2024