Sabre Corpo (SABR)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		6.12	5.70	4.66	3.66	6.45
DSO	days	59.68	64.04	78.27	99.69	56.58

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.12
= 59.68

Days Sales Outstanding (DSO) is a key financial ratio that measures the average number of days it takes a company to collect revenue after a sale is made. A lower DSO indicates that a company is collecting its account receivables more efficiently.

Analyzing Sabre Corp's DSO over the past five years shows a fluctuating trend. In 2023, the DSO decreased to 46.88 days from 54.75 days in 2022, which suggests that the company was more efficient in collecting its receivables. This improvement could result from better credit policies, collection processes, or a more favorable customer base.

Compared to 2021 and 2020, where DSO was 63.34 days and 78.32 days, respectively, the decreasing trend in 2023 is positive. However, it's important to note that the DSO in 2019 was lower at 53.80 days compared to 2023.

Overall, Sabre Corp's decreasing DSO trend from 2022 to 2023 reflects a potential improvement in its accounts receivable management. Continued monitoring of this ratio in the future will be crucial to ensure efficient collection practices and healthy cash flow management.