Trimble Inc (TRMB)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 5.38 | 5.43 | 5.51 | 5.08 | 5.38 | |
| DSO | days | 67.89 | 67.21 | 66.26 | 71.85 | 67.86 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.38
= 67.89
Days Sales Outstanding (DSO) is a key metric used to evaluate how efficiently a company is managing its accounts receivable. A lower DSO indicates that the company is collecting payments from customers more quickly, while a higher DSO suggests that the company is taking longer to collect payments.
Looking at Trimble Inc's DSO over the past five years, we observe some fluctuations. In 2023, the DSO was 67.89 days, which increased slightly compared to the previous year's figure of 67.21 days. Despite the slight increase, the DSO remains relatively consistent over the past three years, indicating stability in Trimble's accounts receivable management.
Comparing the DSO to industry averages and historical performance can provide further insights into Trimble's efficiency in collecting payments from customers. A detailed trend analysis would also be beneficial in understanding any underlying factors contributing to the fluctuations in DSO over the years.
Overall, Trimble Inc's DSO metric suggests that the company has been maintaining a reasonable level of efficiency in managing its accounts receivable, although further analysis and benchmarking against industry standards would provide a more comprehensive assessment of its performance in this area.
Peer comparison
Dec 31, 2023