United States Steel Corporation (X)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		—	12.88	9.71	9.80	13.53
DSO	days	—	28.33	37.61	37.25	26.97

December 31, 2023 calculation

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

The Days of Sales Outstanding (DSO) ratio provides insight into how efficiently United States Steel Corp. is collecting its accounts receivable. A lower DSO indicates that the company is able to collect payments from customers faster, improving its cash flow and liquidity.

Analyzing the trend of DSO over the past five years, we observe fluctuations in the ratio. In 2023, the DSO stood at 31.30 days, showing a slight increase compared to the previous year when it was 28.33 days. This uptick may suggest that the company took slightly longer to collect payments from customers in 2023, which could impact its working capital management.

Comparing the DSO to 2021 and 2020, we notice that the DSO was higher in those years at 37.61 days and 37.25 days, respectively. This indicates an improvement in accounts receivable collection efficiency in 2022 and 2023 compared to those years.

However, looking back at 2019, the DSO was lower at 33.21 days, implying that United States Steel Corp. was able to collect payments quicker that year compared to the most recent period.

In conclusion, the DSO trend for United States Steel Corp. has shown some variability over the past five years, with fluctuations in the efficiency of its accounts receivable collection. Further analysis and comparison with industry averages would provide a more comprehensive understanding of the company's performance in this aspect.