Simpson Manufacturing Company Inc (SSD)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 7.84 | 7.77 | 7.83 | 6.77 | 7.66 | |
| DSO | days | 46.54 | 46.95 | 46.62 | 53.89 | 47.64 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 7.84
= 46.54
To analyze Simpson Manufacturing Company Inc's days of sales outstanding (DSO) based on the provided data, we observe the following trend:
- As of December 31, 2020, Simpson Manufacturing had a DSO of 47.64 days.
- By December 31, 2021, the DSO increased to 53.89 days, indicating a potential delay in collecting receivables.
- However, in the subsequent years, there was a trend of improvement as the DSO decreased to 46.62 days by December 31, 2022, 46.95 days by December 31, 2023, and 46.54 days by December 31, 2024.
Overall, the DSO trend suggests that Simpson Manufacturing initially faced challenges in collecting receivables efficiently, as evidenced by the increase in DSO in 2021. Subsequently, the company managed to improve its collection efficiency, as reflected in the decreasing DSO figures in the following years. This progression indicates enhanced control over accounts receivable management and potentially improved cash flow dynamics.
Peer comparison
Dec 31, 2024