Worthington Steel Inc (WS)
Days of sales outstanding (DSO)
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | — | 7.54 | 8.61 | 7.45 | 7.20 | 7.18 | 7.87 | 6.86 | 7.75 | 8.04 | |
| DSO | days | — | 48.42 | 42.39 | 49.01 | 50.72 | 50.87 | 46.40 | 53.19 | 47.07 | 45.39 |
May 31, 2025 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ —
= —
The analysis of Worthington Steel Inc.’s days of sales outstanding (DSO) over the examined periods reveals notable fluctuations and trends. Starting from February 28, 2023, the DSO was approximately 45.39 days, indicating that on average, it took the company about 45 days to collect receivables. This figure increased modestly through the subsequent periods, reaching its peak at approximately 53.19 days on August 31, 2023. The upward trend suggests a gradual elongation in the company's collection period during this interval.
Following this peak, the DSO experienced a slight decline to 46.40 days by November 30, 2023, indicating a modest improvement in receivables collection efficiency. However, in early 2024, the DSO increased again, reaching approximately 50.87 days as of February 29, 2024, and remained relatively high at 50.72 days on May 31, 2024. This sustained elevation indicates a period of extended collection cycles relative to earlier periods.
Towards the latter half of 2024, the DSO showed signs of improvement, decreasing to 49.01 days by August 31, 2024, and further declining to approximately 42.39 days by November 30, 2024. This reduction suggests an enhancement in the company's receivables management and cash conversion processes during this period.
The latest available data as of February 28, 2025, indicates a DSO of approximately 48.42 days, reflecting a slight increase from the previous quarter but remaining below the peak levels observed in 2023. The full year's figures between 2023 and 2024 demonstrate variability in collection periods but generally hover within the range of approximately 42 to 53 days, signifying fluctuations in receivables turnover efficiency.
Overall, the company’s DSO has exhibited periods of both elongation and improvement, indicative of dynamic credit and collection policies, customer payment behaviors, or external market factors influencing receivables management. The recent trend towards a reduction in DSO suggests an ongoing effort or natural adjustment toward shorter collection cycles, which could have positive implications for cash flow stability and working capital management.
Peer comparison
May 31, 2025