Sally Beauty Holdings Inc (SBH)
Days of sales outstanding (DSO)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 110.51 | 110.58 | 104.17 | 112.80 | 109.31 | 112.46 | 121.53 | 113.28 | 109.15 | 119.09 | 133.51 | 129.49 | 115.86 | 84.36 | 87.72 | 84.74 | 96.77 | 80.62 | 87.00 | 92.28 | |
| DSO | days | 3.30 | 3.30 | 3.50 | 3.24 | 3.34 | 3.25 | 3.00 | 3.22 | 3.34 | 3.06 | 2.73 | 2.82 | 3.15 | 4.33 | 4.16 | 4.31 | 3.77 | 4.53 | 4.20 | 3.96 |
September 30, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 110.51
= 3.30
To analyze the Days Sales Outstanding (DSO) of Sally Beauty Holdings Inc, we can observe the trend in DSO over the past few quarters.
The DSO measures how long it takes for a company to collect payment on its credit sales, indicating the efficiency of its accounts receivable management. A low DSO indicates that the company is able to collect payments quickly, which is favorable.
Looking at the data provided, we see that Sally Beauty Holdings Inc has maintained a relatively stable DSO over the quarters. The DSO ranged from a low of 2.73 days to a high of 4.53 days over the periods analyzed. However, it is worth noting that in recent quarters, the DSO has trended upwards slightly, reaching 3.50 days in the most recent quarter.
A slight increase in DSO could mean that the company is taking longer to collect payments from its customers, which could potentially impact its cash flow and working capital management. It is important for the company to monitor this trend closely and take necessary actions to improve efficiency in accounts receivable collections if needed.
Overall, while Sally Beauty Holdings Inc has maintained a relatively low DSO compared to industry averages, the recent uptick in DSO should be closely monitored to ensure the company's financial health and operational efficiency.
Peer comparison
Sep 30, 2024