Bio-Techne Corp (TECH)

Days of sales outstanding (DSO)

		Jun 30, 2025	Mar 31, 2025	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
Receivables turnover		5.90	5.10	5.49	5.24	4.80	5.07	5.52	5.59	5.20	5.19	6.06	6.42	5.68	5.33	6.73	6.67	6.40	5.37	6.23	6.19
DSO	days	61.91	71.61	66.51	69.69	76.02	72.06	66.13	65.27	70.15	70.30	60.22	56.89	64.23	68.53	54.20	54.70	57.00	67.93	58.59	58.92

June 30, 2025 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.90
= 61.91

The analysis of Bio-Techne Corp’s days of sales outstanding (DSO) over the specified period highlights several trends and observations. Initially, the DSO remained relatively stable from September 30, 2020 (58.92 days) through December 31, 2020 (58.59 days), indicating a consistent collection period during this timeframe. However, a noticeable increase occurred by March 31, 2021, reaching 67.93 days, suggesting a deterioration in receivables collection efficiency. This upward trend persisted into the subsequent quarter, where the DSO decreased slightly to 57.00 days but then increased again, reaching 54.70 days by September 30, 2021, reflecting some fluctuation.

From late 2021 into early 2022, the DSO demonstrated a significant rise, peaking at 70.30 days on March 31, 2023, and maintaining elevated levels through June 30, 2023 (70.15 days). The trend indicates a shortening of collection periods in the third quarter of 2023, with the DSO declining to 65.27 days. Nonetheless, the DSO remained elevated relative to the 2020 levels, suggesting ongoing challenges in receivables management or changes in credit policies.

Between September 30, 2023, and June 30, 2024, the DSO experienced fluctuations within the range of approximately 65 to 76 days. The peak was observed at 76.02 days on June 30, 2024, representing the longest collection period in the analyzed timeframe. Subsequently, a slight improvement is noted with the DSO decreasing to 69.69 days by September 30, 2024. The trend continues to show variability, with a median around 66 to 72 days, indicating persistent extension of collection cycles over the years.

Overall, the data indicates that Bio-Techne Corp’s DSO has experienced periods of both stability and significant increases, averaging approximately between 55 and 70 days in recent years. The rising trend from 2021 onwards suggests a gradual elongation of receivables collection periods, potentially reflecting changes in customer payment behaviors, credit policies, or operational factors impacting cash flows. The extended DSO levels beyond the typical 30-45 days may warrant further investigation to determine underlying causes and assess the impact on liquidity and working capital management.