Whirlpool Corporation (WHR)

The days of sales outstanding (DSO) is a metric used to evaluate how long it takes for a company to collect payments from its customers after making a sale. A lower DSO value indicates that the company is efficient in collecting payments, while a higher DSO value may suggest potential issues with accounts receivable management.

Analyzing Whirlpool Corp.'s DSO over the past five years, we can observe the following trends:

1. Dec 31, 2023: DSO of 28.69 days
2. Dec 31, 2022: DSO of 28.78 days
3. Dec 31, 2021: DSO of 51.47 days
4. Dec 31, 2020: DSO of 58.33 days
5. Dec 31, 2019: DSO of 39.29 days

In 2023 and 2022, Whirlpool Corp. maintained a relatively consistent and low DSO figure, indicating that the company efficiently collected payments from its customers within around 29 days. This suggests effective management of accounts receivable and timely processing of payments.

In contrast, in 2021 and 2020, there was a notable increase in DSO to 51.47 days and 58.33 days, respectively. This upward trend may signal challenges in accounts receivable collection processes during these years, potentially leading to delayed payments and impacting cash flow.

Finally, in 2019, Whirlpool Corp. recorded a DSO of 39.29 days, falling between the high DSO levels of 2020 and 2021 and the lower DSO levels of 2022 and 2023. This indicates a moderate performance in accounts receivable management during that year.

Overall, Whirlpool Corp.'s DSO trend reflects fluctuations in the efficiency of collecting payments from customers over the past five years. Monitoring and managing DSO effectively are crucial for maintaining a healthy cash flow and optimizing working capital management.

Peer comparison

Dec 31, 2023