SolarWinds Corp (SWI)

Days of sales outstanding (DSO)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Receivables turnover		6.91	7.30	7.11	7.47	6.15
DSO	days	52.78	49.99	51.34	48.87	59.36

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.91
= 52.78

Based on the data provided, SolarWinds Corp's Days Sales Outstanding (DSO) has shown a generally favorable trend over the past five years. The DSO decreased from 59.36 days as of December 31, 2020, to 48.87 days as of December 31, 2021, indicating that the company has been able to collect its accounts receivable more efficiently.

Although there was a slight increase in DSO to 51.34 days as of December 31, 2022, the metric remained relatively stable compared to the initial drop. Subsequently, the DSO further improved to 49.99 days as of December 31, 2023, before increasing again to 52.78 days as of December 31, 2024.

Overall, SolarWinds Corp has shown a proactive approach in managing its accounts receivable, as evidenced by the declining trend in DSO over the period under review. However, the slight increase in DSO in 2022 and 2024 may warrant further examination to understand the underlying reasons and assess the company's collection processes and credit policies.