Universal Corporation (UVV)
Days of sales outstanding (DSO)
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 4.66 | 5.18 | 6.20 | 5.39 | 5.39 | |
| DSO | days | 78.39 | 70.47 | 58.84 | 67.67 | 67.74 |
March 31, 2025 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.66
= 78.39
Universal Corporation's Days of Sales Outstanding (DSO) is a measure of how long it takes the company to collect its accounts receivable. The trend over the past five years shows some fluctuations.
As of March 31, 2021, the DSO was 67.74 days, indicating that on average, it took the company nearly 68 days to collect its receivables. This figure remained relatively stable in the following year, decreasing slightly to 67.67 days by March 31, 2022.
By March 31, 2023, the DSO improved significantly to 58.84 days, suggesting that the company was able to collect its accounts receivable more efficiently. However, this positive trend reversed in the subsequent year, as the DSO increased to 70.47 days by March 31, 2024.
The most recent data point, as of March 31, 2025, shows a further deterioration in the DSO, reaching 78.39 days. This increase indicates that Universal Corporation may be facing challenges in collecting its receivables promptly, which could impact its cash flow and liquidity.
Overall, Universal Corporation should closely monitor its DSO and work towards maintaining a balance between efficient collections and maintaining good customer relationships to ensure steady cash flows and financial stability.
Peer comparison
Mar 31, 2025