Service Corporation International (SCI)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 44.37 | 41.86 | 42.50 | 39.07 | 37.78 | |
| DSO | days | 8.23 | 8.72 | 8.59 | 9.34 | 9.66 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 44.37
= 8.23
Service Corporation International's Days of Sales Outstanding (DSO) has shown a consistent downward trend from 9.66 days as of December 31, 2020, to 8.23 days as of December 31, 2024. A decrease in DSO indicates that the company is collecting its accounts receivable more efficiently over time. This improvement may suggest effective credit and collection policies, faster invoicing processes, or a reduction in credit sales.
The decreasing trend in DSO over the years indicates that Service Corporation International has been successful in managing its accounts receivable turnover, which is a positive sign of the company's financial health. It also implies that the company is converting its credit sales into cash more quickly, enhancing its liquidity position. Continued monitoring and maintenance of this trend will be vital for sustaining efficient working capital management and overall financial performance in the future.
Peer comparison
Dec 31, 2024