Sensient Technologies Corporation (SXT)

Days of sales outstanding (DSO)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Receivables turnover		5.26	5.03	4.76	4.59	4.71	4.93	4.73	4.83	5.24	5.16	5.19	5.16	5.63	5.84	5.63	5.44	6.11	5.35	4.88	4.95
DSO	days	69.44	72.54	76.64	79.61	77.52	74.02	77.16	75.54	69.70	70.72	70.39	70.77	64.88	62.45	64.85	67.06	59.73	68.24	74.79	73.68

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.26
= 69.44

The days of sales outstanding (DSO) for Sensient Technologies Corp. have fluctuated over the past eight quarters. In Q4 2023, the DSO was 68.21 days, showing an improvement compared to the previous quarter at 71.37 days in Q3 2023. This decrease indicates that the company is collecting its accounts receivable more efficiently.

Looking back at the trend, the DSO reached its peak at 78.64 days in Q1 2023, and has generally shown a downward trend since then. However, it is worth noting that the DSO was lower in the past year, with the lowest point being 73.37 days in Q3 2022.

Overall, the DSO metric suggests that Sensient Technologies Corp. has been managing its accounts receivable effectively in recent quarters, but there is still room for improvement to bring it closer to historical lows seen in the previous year.