Worthington Steel Inc (WS)

Days of sales outstanding (DSO)

May 31, 2024 Aug 31, 2023 Aug 31, 2022 Aug 31, 2021
Receivables turnover 7.20
DSO days 50.73

May 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 7.20
= 50.73

The days of sales outstanding (DSO) ratio provides insight into how long it takes Worthington Steel Inc to collect its accounts receivable. A lower DSO indicates quicker collection, which can be a sign of efficient credit management.

Based on the data provided, as of May 31, 2024, Worthington Steel Inc had a DSO of 50.73 days. This indicates that on average, it took the company approximately 50.73 days to collect its accounts receivable during this period. This figure suggests a moderate collection period, which could be influenced by the company's credit policies, customer payment behavior, and overall efficiency in accounts receivable management.

Without additional historical data for comparison, it is challenging to assess any trends or improvements in the company's DSO over time. However, a consistent monitoring of DSO over multiple periods can provide valuable insights into Worthington Steel Inc's receivables management performance and potential areas for enhancement.


Peer comparison

May 31, 2024