Semtech Corporation (SMTC)

Days of sales outstanding (DSO)

		Jan 28, 2024	Oct 29, 2023	Jul 30, 2023	Apr 30, 2023	Jan 29, 2023	Oct 30, 2022	Jul 31, 2022	May 1, 2022	Jan 30, 2022	Oct 31, 2021	Aug 1, 2021	May 2, 2021	Jan 31, 2021	Oct 25, 2020	Jul 26, 2020	Apr 26, 2020	Jan 26, 2020	Oct 27, 2019	Jul 28, 2019	Apr 28, 2019
Receivables turnover		5.10	4.87	4.82	5.36	4.38	9.84	11.39	—	10.29	9.55	—	—	8.37	9.63	10.66	10.98	10.89	11.33	15.42	16.49
DSO	days	71.60	74.89	75.67	68.09	83.30	37.08	32.04	—	35.47	38.23	—	—	43.62	37.92	34.24	33.24	33.52	32.20	23.66	22.13

January 28, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.10
= 71.60

The Days Sales Outstanding (DSO) ratio for Semtech Corporation has exhibited some fluctuations over the past periods. DSO reflects the average number of days it takes for a company to collect revenue after a sale has been made.

In the most recent period of Jan 28, 2024, the DSO stood at 71.60 days, indicating that on average, Semtech takes approximately 71.60 days to collect its outstanding receivables. This represents a slight improvement compared to the previous quarter Oct 29, 2023, where the DSO was 74.89 days.

Looking at the trend over the past few periods, the DSO has generally been within a range of 32 to 83 days. Notably, there was a significant decrease in DSO from Jul 30, 2022, to Oct 29, 2022, where it dropped from 75.67 days to 37.08 days. This suggests a more efficient collection of receivables during that specific quarter.

It is also worth noting the absence of DSO data for some quarters, which may be attributed to various factors such as reporting practices.

Overall, while there have been fluctuations in Semtech's DSO ratio, the trend indicates efforts towards managing and optimizing the collection of outstanding receivables. Monitoring DSO can help assess the effectiveness of a company's credit and collection policies in ensuring timely cash flows.