Vector Group Ltd (VGR)
Days of sales outstanding (DSO)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 53.86 | 51.13 | 31.73 | 47.97 | 29.33 | 46.49 | 38.56 | 42.22 | 45.19 | 32.09 | 33.79 | 40.24 | 49.88 | 43.68 | 57.35 | 49.97 | 52.44 | 44.78 | 42.11 | 48.44 | |
| DSO | days | 6.78 | 7.14 | 11.50 | 7.61 | 12.44 | 7.85 | 9.47 | 8.65 | 8.08 | 11.37 | 10.80 | 9.07 | 7.32 | 8.36 | 6.36 | 7.30 | 6.96 | 8.15 | 8.67 | 7.54 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 53.86
= 6.78
To analyze the Days of Sales Outstanding (DSO) trend for Vector Group Ltd based on the provided data:
1. In Q4 2023, the DSO was 6.78 days, indicating that on average, it took the company approximately 6.78 days to collect sales revenue from customers during this period.
2. Compared to the previous quarter (Q3 2023) where the DSO was 7.14 days, there was a slight improvement in collecting accounts receivable more efficiently in Q4 2023.
3. However, in Q2 2023, the DSO increased significantly to 11.50 days, which suggests that the company took longer to collect receivables during that period compared to Q4 2023.
4. Looking back to Q1 2023, the DSO was 7.61 days, indicating a similar collection efficiency compared to Q4 2023.
5. When comparing to the same quarter in the previous year (Q4 2022), there has been a notable improvement in DSO from 12.44 days to 6.78 days, reflecting a more efficient collection process.
6. In Q3 2022 and Q2 2022, the DSO was 29.35 days and 19.20 days, respectively, which were significantly higher than the more recent quarters, indicating potential issues with accounts receivable collection efficiency during those periods.
7. However, in Q1 2022, the DSO improved to 11.03 days, which is closer to the DSO observed in the recent quarters.
Overall, Vector Group Ltd has shown fluctuations in its DSO over the quarters, with some periods demonstrating improved efficiency in collecting receivables and others showing challenges. It is essential for the company to monitor and manage its DSO effectively to ensure a healthy cash flow and financial performance.
Peer comparison
Dec 31, 2023