Vir Biotechnology Inc (VIR)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		—	—	1.42	—	—
DSO	days	—	—	257.59	—	—

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ —
= —

To analyze Vir Biotechnology Inc's days of sales outstanding (DSO) based on the provided historical data:

1. Calculation of DSO for each available year:
- December 31, 2021: DSO = 257.59 days
- No data available for December 31, 2020, and 2019

2. Interpretation:
- DSO represents the average number of days it takes for a company to collect payment on its sales.
- A higher DSO indicates a longer time for the company to collect its outstanding receivables, which may indicate inefficiencies in accounts receivable management.
- Conversely, a lower DSO implies faster collection of receivables, potentially indicating effective credit and collection policies.

3. Analysis based on the available data:
- The DSO of 257.59 days as of December 31, 2021, suggests that on average, Vir Biotechnology Inc takes approximately 257.59 days to collect its sales revenue, which is a relatively long collection period.
- Due to the absence of data for the years 2020 and 2019, it is challenging to assess the trend in DSO and determine any improvements or deteriorations in receivables management over the years.

4. Conclusion:
- The DSO of Vir Biotechnology Inc as of December 31, 2021, indicates a potentially lengthy collection period, which may warrant further investigation into the company's accounts receivable processes and policies to optimize cash flows and working capital management.