Power Integrations Inc (POWI)
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 | 30.29 | 16.81 | 16.04 | 27.95 | 31.25 | 43.49 | 25.57 | 23.21 | 16.99 | 17.53 | 15.13 | 13.07 | 13.60 | 15.35 | 34.58 | 21.42 | 17.33 | 14.74 | 15.05 | 19.14 | |
DSO | days | 12.05 | 21.71 | 22.76 | 13.06 | 11.68 | 8.39 | 14.27 | 15.72 | 21.48 | 20.82 | 24.12 | 27.92 | 26.84 | 23.77 | 10.56 | 17.04 | 21.06 | 24.76 | 24.25 | 19.07 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 30.29
= 12.05
The days of sales outstanding (DSO) ratio for Power Integrations Inc. has fluctuated over the past eight quarters. In Q4 2023, the DSO was 12.05 days, showing an improvement from the previous quarter. This indicates that the company is collecting its accounts receivable more efficiently compared to Q3 2023 when the DSO was 21.71 days.
Looking back at historical data, the DSO was relatively low in Q4 2022 at 11.68 days but then increased in the following quarters before decreasing again in Q4 2023. This fluctuation suggests some variability in the company's collection efficiency.
Overall, Power Integrations Inc. should continue to monitor its DSO closely to ensure that it maintains efficient accounts receivable management. A lower DSO indicates that the company is collecting payments faster, which can improve cash flow and overall financial health. However, significant increases in DSO could indicate potential issues with accounts receivable collection that may require attention to prevent liquidity or profitability challenges.
Peer comparison
Dec 31, 2023