Viavi Solutions Inc (VIAV)
Days of sales outstanding (DSO)
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 4.08 | 4.19 | 4.52 | 4.35 | 4.42 | |
| DSO | days | 89.35 | 87.08 | 80.72 | 83.91 | 82.52 |
June 30, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.08
= 89.35
Viavi Solutions Inc's Days of Sales Outstanding (DSO) provides insight into how long it takes the company to collect its accounts receivable. Over the past five years, Viavi's DSO has shown some variability, fluctuating between 80.72 days in 2022 to 89.35 days in 2024. This indicates that the company's collection efforts may have been less efficient in 2024 compared to the prior years.
An upward trend in DSO could suggest potential issues with managing accounts receivable or the company's credit policies. Conversely, a downward trend in DSO may indicate improvements in collections efficiency and liquidity. It would be advisable for Viavi to closely monitor its DSO and implement strategies to optimize its accounts receivable management in order to improve cash flow and overall financial health.
Peer comparison
Jun 30, 2024