Terex Corporation (TEX)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 7.97 | 9.40 | 8.07 | 7.66 | 8.07 | |
| DSO | days | 45.78 | 38.82 | 45.24 | 47.68 | 45.23 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 7.97
= 45.78
To analyze Terex Corporation's days of sales outstanding (DSO) over the years:
- The DSO for Terex Corporation was 45.23 days as of December 31, 2020.
- There was a slight increase in DSO to 47.68 days as of December 31, 2021.
- The DSO then decreased to 45.24 days by December 31, 2022.
- A significant improvement was observed in DSO, dropping to 38.82 days by December 31, 2023.
- However, the DSO increased again to 45.78 days by December 31, 2024.
Overall, Terex Corporation's DSO has fluctuated over the years, displaying both improvements and setbacks in the collection of accounts receivable. The company may need to focus on optimizing its receivables management to ensure a consistent and efficient cash conversion cycle.