STAAR Surgical Company (STAA)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 3.32 | 4.37 | 5.03 | 4.38 | 4.74 | |
| DSO | days | 109.99 | 83.57 | 72.50 | 83.26 | 77.06 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.32
= 109.99
STAAR Surgical Company's Days Sales Outstanding (DSO) measures how many days, on average, it takes the company to collect payment from its customers after making a sale.
Over the past five years, the trend in STAAR Surgical's DSO has shown fluctuations. In 2023, the DSO increased to 109.99 days from 83.57 days in 2022, indicating a deterioration in the company's collection process. This increase suggests that STAAR Surgical is taking longer to collect payments from customers, which can impact its cash flow and liquidity.
Comparing the DSO to previous years, 2023's value is higher than 2021 but relatively closer to the DSO in 2020. This variability in DSO could be influenced by factors such as changes in sales terms, customer payment behavior, credit policies, or the company's operational efficiency in managing receivables.
Overall, the upward trend in DSO for STAAR Surgical Company raises a concern about its accounts receivable management efficiency and highlights the importance of closely monitoring and improving the collection process to ensure timely cash inflows and financial stability.
Peer comparison
Dec 31, 2023