Union Pacific Corporation (UNP)
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 | 12.94 | 11.90 | 11.22 | 10.82 | 11.19 | 12.09 | 13.16 | 12.43 | 12.67 | 10.98 | 10.60 | 10.88 | 12.05 | 12.63 | 12.34 | 11.99 | 12.98 | 12.53 | 14.55 | 12.91 | |
| DSO | days | 28.20 | 30.67 | 32.53 | 33.73 | 32.62 | 30.19 | 27.73 | 29.37 | 28.81 | 33.24 | 34.44 | 33.56 | 30.30 | 28.89 | 29.57 | 30.44 | 28.12 | 29.14 | 25.08 | 28.26 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 12.94
= 28.20
Days Sales Outstanding (DSO) is a financial ratio that indicates the average number of days it takes for a company to collect payment after making a sale. Analyzing the DSO trend of Union Pacific Corporation for the period from March 31, 2020, to December 31, 2024, reveals fluctuations in the efficiency of the company's accounts receivable management.
Over this period, Union Pacific's DSO varied between 25.08 days to 34.44 days. The trend shows some volatility, with peaks observed in March 31, 2022 (33.56 days) and March 31, 2024 (33.73 days), potentially indicating delays in receiving payments from customers during those quarters. On the other hand, the lowest DSO was recorded on June 30, 2023, at 27.73 days, signifying an improvement in the collection process.
Overall, the average DSO for Union Pacific Corporation during this period was approximately 30 days, suggesting that, on average, the company takes around a month to collect payments. It is essential to monitor this ratio closely as higher DSO values could indicate inefficiencies in accounts receivable management, potentially impacting the company's cash flow and liquidity position.
Peer comparison
Dec 31, 2024
See also:
Union Pacific Corporation Average Receivable Collection Period (Quarterly Data)