RH (RH)
Days of sales outstanding (DSO)
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 35.97 | 44.27 | 55.33 | 38.03 | 52.37 | |
| DSO | days | 10.15 | 8.25 | 6.60 | 9.60 | 6.97 |
February 3, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 35.97
= 10.15
The days of sales outstanding (DSO) for RH have shown some fluctuation over the past five years. In the most recent period, ending on Feb 3, 2024, the DSO was recorded at 10.15 days, indicating that on average it takes about 10.15 days for the company to collect its accounts receivable. This represents an increase from the previous year where the DSO was 8.25 days on Jan 28, 2023.
Looking back further, we observe that the DSO was 6.60 days on Jan 29, 2022, which was the lowest recorded DSO over the five-year period. However, in the preceding year, on Jan 30, 2021, the DSO was higher at 9.60 days. The year before that, on Feb 1, 2020, the DSO was 6.97 days, showing a similar level to the most recent year.
Overall, RH's DSO has exhibited variability over the years, with some periods showing faster collection of receivables and others experiencing longer collection times. It is important for the company to manage its accounts receivable effectively to maintain a healthy cash flow and working capital position.
Peer comparison
Feb 3, 2024