Sealed Air Corporation (SEE)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 9.44 | 7.66 | 7.55 | 7.19 | 7.16 | |
| DSO | days | 38.68 | 47.67 | 48.33 | 50.75 | 51.01 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 9.44
= 38.68
Sealed Air Corp.'s Days Sales Outstanding (DSO) has shown a consistent downward trend over the past five years, indicating an improvement in the company's ability to collect its accounts receivable efficiently.
From December 31, 2019, at 51.01 days, DSO decreased to 50.75 days by December 31, 2020, and further declined to 48.33 days by the end of 2021. In December 2022, the DSO reduced to 47.67 days, and by the end of December 2023, it reached 38.68 days, reflecting a marked improvement in collecting receivables.
Lower DSO values suggest that Sealed Air Corp. is collecting payments from its customers more quickly, which can positively impact the company's cash flow and overall liquidity position. This trend indicates efficient accounts receivable management, potentially resulting in improved working capital management and financial performance.
Peer comparison
Dec 31, 2023