Schrodinger Inc (SDGR)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Receivables turnover | 3.28 | 3.23 | 4.35 | 3.44 | |
| DSO | days | 111.17 | 112.86 | 84.00 | 106.10 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.28
= 111.17
The Days Sales Outstanding (DSO) for Schrodinger Inc has shown a fluctuating trend over the past five years. In 2023, the DSO increased to 150.13 days compared to 139.36 days in 2022, indicating that it took the company longer to collect revenue from its customers. This could be a cause for concern as a higher DSO could indicate potential issues with accounts receivable management or an increase in credit risk.
However, it is worth noting that the 2023 DSO of 150.13 days is significantly higher than the 107.31 days recorded in 2021 and the 109.82 days in 2019. This suggests a potential deterioration in the company's collection efficiency over the last two years. It is important for Schrodinger Inc to closely monitor and address any underlying reasons for the increase in DSO to ensure timely collection of receivables and maintain healthy cash flows.
Peer comparison
Dec 31, 2023