Photronics Inc (PLAB)

Days of sales outstanding (DSO)

		Oct 31, 2024	Jul 28, 2024	Apr 28, 2024	Jan 28, 2024	Oct 31, 2023	Jul 30, 2023	Apr 30, 2023	Jan 29, 2023	Oct 31, 2022	Jul 31, 2022	May 1, 2022	Jan 30, 2022	Oct 31, 2021	Aug 1, 2021	May 2, 2021	Jan 31, 2021	Oct 31, 2020	Aug 2, 2020	May 3, 2020	Feb 2, 2020
Receivables turnover		3.73	3.94	4.07	3.91	4.03	4.24	4.10	3.85	4.24	3.95	—	4.20	3.40	—	—	4.32	4.04	—	—	—
DSO	days	97.75	92.74	89.72	93.39	90.56	86.06	89.13	94.70	86.10	92.32	—	86.98	107.48	—	—	84.51	90.40	—	—	—

October 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.73
= 97.75

Days Sales Outstanding (DSO) is a measure of the average number of days it takes for a company to collect payment after making a sale. In the case of Photronics Inc, the DSO has fluctuated over the past few quarters, indicating varying efficiency in collecting accounts receivable.

The DSO trend shows that in recent quarters, there has been an increase in the number of days it takes for Photronics Inc to collect payment from customers. This increase in DSO can indicate potential issues with accounts receivable management or changes in the company's customer base or sales terms.

The highest DSO was recorded on Oct 31, 2021, at 107.48 days, which suggests a prolonged collection period and raises concerns about the company's liquidity and cash flow management. On the other hand, the lowest DSO observed on May 2, 2021, at 84.51 days indicates a quicker collection cycle.

Overall, the DSO for Photronics Inc has shown some variability, and it would be important for management to closely monitor and address any factors contributing to the fluctuations to ensure efficient cash flow management and timely collection of accounts receivable.