PDF Solutions Inc (PDFS)

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		3.69	4.03	2.65	2.47	2.67	2.13	2.83	2.48	2.14	2.45	2.71	2.01	2.13	1.88	2.32	1.84	1.78	1.85	1.23	1.12
DSO	days	98.83	90.48	137.82	147.93	136.77	171.45	128.76	147.24	170.53	149.06	134.69	181.47	171.38	194.36	157.11	198.01	204.93	197.42	296.25	324.80

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.69
= 98.83

To analyze PDF Solutions Inc.'s days of sales outstanding (DSO) over the past eight quarters, we observe a fluctuating trend in the company's collection period. In Q4 2023, the DSO stood at 98.83 days, representing a slight increase from the previous quarter's 90.48 days. This indicates that PDF Solutions took longer to collect its accounts receivable compared to the previous quarter.

Looking back further, in Q2 2023, the DSO spiked to 137.82 days, suggesting a significant delay in collecting receivables, which was reduced to 110.21 days in Q1 2023. There was a similar pattern in Q4 2022, with the DSO at 103.60 days, followed by a sharp increase in Q1 2022 to 114.49 days.

Overall, the DSO for PDF Solutions has been showing variability, indicating potential challenges in efficiently collecting accounts receivable in a timely manner. Further investigation into the company's credit and collection policies may be warranted to improve cash flow management and liquidity.