Urban Outfitters Inc (URBN)
Days of sales outstanding (DSO)
| Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 76.73 | 68.08 | 71.34 | 38.18 | 44.96 | |
| DSO | days | 4.76 | 5.36 | 5.12 | 9.56 | 8.12 |
January 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 76.73
= 4.76
The days of sales outstanding (DSO) measure for Urban Outfitters Inc has shown a fluctuating trend over the past five years. The company's ability to collect its accounts receivable has improved from 9.56 days in January 2021 to 4.76 days in January 2024, indicating a positive trend in managing the collection process efficiently. The reduction in DSO implies that Urban Outfitters has been able to convert its accounts receivable into cash at a faster pace, which can enhance its liquidity position and overall financial health. However, it is essential to monitor this ratio continuously to ensure that the company maintains its efficient collection practices and manages its working capital effectively.
Peer comparison
Jan 31, 2024