Constellation Brands Inc Class A (STZ)

Days of sales outstanding (DSO)

		Feb 29, 2024	Feb 28, 2023	Feb 28, 2022	Feb 28, 2021	Feb 29, 2020
Receivables turnover		24.79	21.71	20.48	22.84	20.07
DSO	days	14.73	16.82	17.82	15.98	18.18

February 29, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 24.79
= 14.73

Constellation Brands Inc Class A has exhibited a trend of decreasing days of sales outstanding (DSO) over the past five years. In the most recent fiscal year ending February 29, 2024, the DSO stood at 14.73 days, showing an improvement from the prior year's 16.82 days. This indicates that the company is able to collect its accounts receivable more quickly, potentially pointing to efficient credit and collection processes. The decreasing trend in DSO over the years suggests a positive development in managing the collection of sales revenue, which could positively impact the company's cash flow and liquidity position.