Thor Industries Inc (THO)
Days of sales outstanding (DSO)
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 20.01 | 20.28 | 19.12 | 15.34 | 13.70 | |
| DSO | days | 18.24 | 18.00 | 19.09 | 23.79 | 26.64 |
July 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 20.01
= 18.24
The days sales outstanding (DSO) for Thor Industries Inc has shown a decreasing trend over the past five years, indicating an improvement in the company's ability to collect accounts receivable efficiently.
In the most recent fiscal year ending July 31, 2024, the DSO was 18.24 days, slightly higher than the previous year's 18.00 days. However, when compared to the DSO of 19.09 days in 2022, and significantly higher DSO figures of 23.79 days in 2021 and 26.64 days in 2020, the company has made substantial progress in speeding up its collections cycle.
This improvement in DSO suggests that Thor Industries Inc has been more effective in managing its accounts receivable and converting sales into cash, potentially enhancing its liquidity position and overall financial health. It is crucial for the company to continue monitoring and managing its DSO to ensure ongoing efficiency in receivables management and cash flow operations.
Peer comparison
Jul 31, 2024