Twilio Inc (TWLO)

Days of sales outstanding (DSO)

		Jun 30, 2025	Mar 31, 2025	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
Receivables turnover		8.04	7.94	7.57	7.88	7.89	7.75	7.38	7.36	6.76	6.87	6.99	7.47	7.21	7.69	7.32	7.37	7.48	7.71	7.01	7.58
DSO	days	45.38	46.00	48.19	46.34	46.26	47.07	49.45	49.57	54.03	53.09	52.23	48.85	50.64	47.47	49.86	49.55	48.81	47.37	52.04	48.16

June 30, 2025 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.04
= 45.38

The Days of Sales Outstanding (DSO) for Twilio Inc. exhibits notable fluctuations over the period from September 2020 to June 2025. Initially, at approximately 48.16 days in September 2020, DSO increased to a peak of around 54.03 days by June 2023. This upward trend suggests a gradual elongation in the company's collection cycle during this period.

From the second quarter of 2023 onward, the DSO demonstrates a downward trajectory, decreasing progressively from 54.03 days in June 2023 to approximately 45.38 days by June 2025. The most recent data points indicate a stabilization near 46 days, reflecting a potential improvement in the efficiency of receivables collection.

Overall, the pattern indicates a period of rising DSO values followed by a reversal and consistent decline, which may imply that Twilio has taken measures to enhance collections or adjust credit policies. The stabilization at a level below 50 days suggests a comparatively steady collection cycle in recent periods, aligning with standard industry practice for technology service providers. Consequently, although fluctuations were observed historically, recent data imply improvement in receivables management and possibly more effective credit risk controls.