Roper Technologies Inc. Common Stock (ROP)

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		6.60	6.98	7.30	7.62	6.58	7.13	6.92	5.73	5.28	5.43	4.25	4.37	4.22	4.65	5.10	5.34	5.14	5.97	5.87	6.41
DSO	days	55.32	52.27	50.03	47.91	55.45	51.20	52.74	63.70	69.13	67.24	85.83	83.48	86.53	78.53	71.62	68.32	70.97	61.11	62.17	56.99

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.60
= 55.32

To analyze Roper Technologies Inc's Days Sales Outstanding (DSO) based on the provided data:

1. Trend Analysis:
- The DSO has been relatively stable over the past eight quarters, ranging from a low of 50.12 days in Q2 2022 to a high of 59.59 days in Q4 2022.
- There was a noticeable decrease in DSO from Q4 2022 to Q1 2023, indicating an improvement in the company's collection efficiency. However, the DSO increased slightly in Q3 and Q4 2023, which might suggest a potential slowdown in collection efforts.

2. Seasonal Variations:
- Roper Technologies' DSO appears to exhibit some seasonal variation, with Q1 typically showing the lowest DSO, indicating faster collection of receivables, while Q4 tends to have a higher DSO, implying a slower collection period.

3. Comparison to Industry Benchmark:
- To evaluate the efficiency of Roper Technologies' accounts receivable management, it would be essential to compare its DSO to industry benchmarks. A lower DSO compared to industry averages could indicate more efficient credit and collection practices.

4. Potential Areas for Improvement:
- While Roper Technologies' DSO has remained relatively stable, the slight increase in recent quarters could signal potential issues in accounts receivable management. Management may need to focus on enhancing collection processes to reduce the DSO and improve cash flow efficiency.

Overall, Roper Technologies Inc's DSO indicates a moderate efficiency in collecting receivables, with some room for improvement in optimizing their accounts receivable management processes. Further analysis and comparison to industry peers can provide more insights into the company's performance in this area.