Veracyte Inc (VCYT)

Days of sales outstanding (DSO)

Jun 30, 2025 Mar 31, 2025 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
Receivables turnover 9.43 8.62 9.58 8.71 7.94 8.05 8.94 8.73 7.76 6.84 6.74 7.08 6.63 5.90 5.29 4.63 4.94 4.41 6.36 6.39
DSO days 38.71 42.36 38.10 41.88 45.95 45.36 40.82 41.80 47.05 53.36 54.18 51.57 55.02 61.88 68.94 78.80 73.86 82.68 57.36 57.11

June 30, 2025 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 9.43
= 38.71

The analysis of Veracyte Inc.'s days of sales outstanding (DSO) from September 2020 through June 2025 reveals notable trends in the company's receivables collection efficiency over this period. At the beginning of the observed timeframe, in September 2020, the DSO was approximately 57.11 days, indicating the number of days it typically takes for the company to collect revenue after a sale.

Throughout 2020 and early 2021, the DSO remained relatively stable, fluctuating marginally around the low to mid-50s days, with values such as 57.36 days at year-end 2020 and rising to 82.68 days by March 2021. The significant increase observed in the first quarter of 2021 suggests a slowdown in receivables collection, possibly due to changes in credit policies, customer payment behavior, or external factors impacting cash flow.

Following this peak, the DSO demonstrated a gradual decreasing trend. From its high of approximately 82.68 days in March 2021, it declined to around 55 days by June 2022. This reduction indicates an improvement in collection efficiency, with the company increasingly turning receivables into cash more promptly.

The downward trajectory persisted into subsequent periods, reaching a low of approximately 40.82 days at the end of December 2023. During this time, the DSO stabilized, reflecting enhanced receivables management and potentially more stringent credit control measures or improved billing and collections processes.

In 2024, the DSO experienced minor fluctuations, oscillating slightly above and below the 40-day mark—specifically around 45 days in September and December 2024. This stability suggests a period of optimized collections and consistent credit practices.

Looking into 2025, the DSO exhibited slight increases and decreases, with values such as 42.36 days in March and 38.71 days by June. Despite these minor fluctuations, the DSO remained generally lower than historical peaks, indicating that the company's receivables collection efficiency has improved considerably compared to the early period under review.

Overall, the company's DSO trend from September 2020 to June 2025 reflects a significant improvement in accounts receivable collection efficiency. Initially exhibiting elevated levels, the DSO declined over time, stabilizing at more manageable durations, which is indicative of stronger credit control and perhaps improved operational efficiencies in receivables management.