Gentherm Inc (THRM)

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		5.62	5.32	5.47	5.00	5.71	5.41	5.38	4.88	4.72	4.26	4.66	4.59	5.33	5.39	5.23	4.09	3.91	4.00	6.33	5.59
DSO	days	64.96	68.65	66.78	72.97	63.90	67.42	67.86	74.82	77.27	85.67	78.37	79.47	68.50	67.70	69.80	89.24	93.32	91.26	57.70	65.25

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.62
= 64.96

Gentherm Inc's Days Sales Outstanding (DSO) measures the average number of days it takes the company to collect payments after making a sale. Analyzing the historical DSO data provided, we observe fluctuations in the collection efficiency over the quarters.

- The DSO shows a downward trend from December 31, 2020 to June 30, 2021, indicating an improvement in the company's ability to collect payments efficiently during that period.
- However, there is an uptick in DSO from September 30, 2021 to December 31, 2021, suggesting a potential delay in collections.
- In the subsequent quarters, the DSO remains relatively stable around 70 days, with minor fluctuations.
- Notably, there is a significant drop in DSO from June 30, 2023 to December 31, 2023, indicating an improvement in the collection process during this period.
- The trend reverses slightly in the following quarters, with DSO increasing gradually but remaining below previous highs.

Overall, the DSO trend for Gentherm Inc indicates fluctuations in the efficiency of accounts receivable collections. Monitoring and managing DSO effectively is crucial for maintaining healthy cash flow and liquidity.