Stryker Corporation (SYK)

Days of sales outstanding (DSO)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Receivables turnover		5.67	5.88	5.91	6.04	5.44	6.07	5.97	5.89	5.18	5.78	5.61	5.83	5.66	5.92	5.99	5.63	5.31	5.86	6.39	5.65
DSO	days	64.41	62.06	61.81	60.47	67.04	60.13	61.18	61.92	70.53	63.10	65.12	62.63	64.47	61.68	60.98	64.88	68.70	62.27	57.15	64.58

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.67
= 64.41

Days of Sales Outstanding (DSO) is a crucial financial ratio that measures the average number of days a company takes to collect payment after a sale is made. For Stryker Corporation, the DSO figures over the past few years show fluctuations.

From March 31, 2020, to December 31, 2024, the DSO ranged between 57.15 days to 70.53 days. The trend in DSO shows some variability, indicating potential changes in the efficiency of Stryker's accounts receivable management.

The DSO decreased from 64.58 days on March 31, 2020, to 57.15 days on June 30, 2020, suggesting an improvement in the company's collection processes. However, DSO increased to 68.70 days by December 31, 2020, indicating a slowdown in collection activities.

Subsequently, there were fluctuations in DSO values over the following periods, with some periods showing improvements and others reflecting delays in receivables collection. Notably, there was a decrease in DSO to 60.13 days by September 30, 2023, indicating a potential enhancement in Stryker's ability to collect payments more efficiently.

Overall, the analysis of Stryker Corporation's DSO reveals varying trends in the company's accounts receivable management efficiency over the years, which may require further investigation to understand the underlying reasons for these fluctuations.