Tesla Inc (TSLA)

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		22.11	29.28	25.47	24.34	27.59	37.97	27.28	28.69	27.53	34.06	32.15	26.79	27.97	23.74	19.56	18.92	16.64	15.95	17.20	20.28
DSO	days	16.51	12.47	14.33	14.99	13.23	9.61	13.38	12.72	13.26	10.72	11.35	13.62	13.05	15.37	18.66	19.30	21.93	22.88	21.23	18.00

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 22.11
= 16.51

The Days of Sales Outstanding (DSO) for Tesla Inc have shown a generally decreasing trend over the specified period from March 31, 2020, to December 31, 2024. DSO measures the average number of days it takes for a company to collect revenue after a sale is made.

The DSO decreased from 18.00 days on March 31, 2020, to a low of 9.61 days on September 30, 2023, which indicates an improvement in the efficiency of Tesla's accounts receivable collection process. Subsequently, the DSO increased slightly to 16.51 days on December 31, 2024.

Overall, the decreasing trend in DSO reflects Tesla's ability to efficiently convert its sales into cash, suggesting effective management of its accounts receivable and potentially favorable liquidity. However, the slight increase in DSO towards the end of the period may indicate a slower collection of receivables, which could warrant further analysis to assess any potential impacts on Tesla's working capital management.