UGI Corporation (UGI)
Days of sales outstanding (DSO)
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 9.42 | 8.91 | 6.42 | 6.98 | 9.77 | 9.54 | 6.46 | 6.26 | 8.05 | 7.06 | 4.99 | 5.15 | 7.39 | 7.31 | 5.22 | 5.82 | 8.96 | 9.76 | 6.64 | 7.05 | |
| DSO | days | 38.73 | 40.95 | 56.87 | 52.31 | 37.37 | 38.24 | 56.54 | 58.34 | 45.33 | 51.69 | 73.14 | 70.83 | 49.41 | 49.94 | 69.95 | 62.77 | 40.73 | 37.39 | 54.96 | 51.78 |
September 30, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 9.42
= 38.73
The Days Sales Outstanding (DSO) ratio measures the average number of days a company takes to collect revenue after a sale has been made. A lower DSO indicates faster collections and better liquidity management.
Analyzing the DSO trend for UGI Corporation over the past 8 quarters, we observe fluctuations in the collection period. In the most recent quarter ending in September 2024, the DSO was 38.73 days, which was slightly lower compared to the previous quarter at 40.95 days.
Looking at the historical trend, we can see that UGI Corporation has experienced varying DSO levels over the quarters. The DSO has ranged from a low of 37.37 days in September 2023 to a high of 73.14 days in March 2022.
The company's DSO trend indicates some variability in its collection efficiency, with periods of faster and slower collections. It is important for the company to monitor and manage its accounts receivable effectively to ensure timely cash flows and maintain a healthy liquidity position.
Overall, while the recent DSO improvement is positive, UGI Corporation should continue to focus on optimizing its credit and collection policies to ensure efficient working capital management and cash flow generation.
Peer comparison
Sep 30, 2024