Penn National Gaming Inc (PENN)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 19.95 | 25.98 | 30.28 | 37.12 | 59.77 | |
| DSO | days | 18.30 | 14.05 | 12.05 | 9.83 | 6.11 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 19.95
= 18.30
Based on the trend of days of sales outstanding (DSO) for PENN Entertainment Inc over the past five years, we observe a consistent increase in the number of days it takes for the company to collect its accounts receivable.
In 2019, the DSO was at 6.11 days, showing a rapid turnover of accounts receivable. However, by the end of 2023, the DSO had increased to 18.30 days, indicating a significant delay in collecting receivables compared to previous years.
The steady rise in DSO suggests that PENN Entertainment Inc may be facing challenges in efficiently collecting payments from customers, which could potentially impact its cash flow and working capital management. It is important for the company to closely monitor and improve its accounts receivable management to ensure timely collection and maintain healthy liquidity levels.
Peer comparison
Dec 31, 2023