United Rentals Inc (URI)

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		6.51	6.25	6.53	6.54	6.43	6.10	6.17	6.10	5.81	5.75	6.12	6.34	5.79	5.75	6.29	6.75	6.49	6.58	7.35	6.62
DSO	days	56.06	58.39	55.92	55.78	56.79	59.79	59.18	59.86	62.83	63.47	59.68	57.60	63.00	63.43	58.00	54.09	56.27	55.50	49.68	55.11

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.51
= 56.06

United Rentals Inc's Days Sales Outstanding (DSO) measures the average number of days it takes for the company to collect its accounts receivable. A lower DSO indicates that the company is collecting payment from customers more quickly.

Analyzing the data provided:

- The DSO for United Rentals Inc fluctuated over the period from March 31, 2020, to December 31, 2024.
- The DSO ranged from a low of 49.68 days on June 30, 2020, to a high of 63.47 days on September 30, 2022.
- There were noticeable increases in DSO from September 30, 2021, to December 31, 2021, and from March 31, 2022, to September 30, 2022.
- The DSO decreased gradually in the later periods, with a slight increase on December 31, 2023.
- The company generally managed to keep its DSO below 60 days, which is in line with industry standards for equipment rental businesses.

Overall, United Rentals Inc's DSO trend indicates variability in its accounts receivable collection efficiency over the period under review. The company should continue to monitor and manage its DSO effectively to ensure timely collection of outstanding receivables and maintain healthy cash flows.