ZoomInfo Technologies Inc (ZI)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 4.81 | 4.32 | 4.60 | 3.62 | 3.17 | |
| DSO | days | 75.94 | 84.41 | 79.40 | 100.70 | 115.09 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.81
= 75.94
ZoomInfo Technologies Inc's days of sales outstanding (DSO) has shown a consistent improvement over the years based on the data provided. Starting at 115.09 days as of December 31, 2020, the DSO decreased to 100.70 days by December 31, 2021, indicating a more efficient accounts receivable collection process.
By December 31, 2022, the DSO experienced a significant further decrease to 79.40 days, suggesting the company is managing its accounts receivable more effectively and converting sales into cash at a faster rate. However, by December 31, 2023, there was a slight uptick in DSO to 84.41 days, possibly indicating a temporary slowdown in collections or changes in customer payment behavior.
As of December 31, 2024, the DSO decreased again to 75.94 days, showing an overall positive trend in the company's ability to collect outstanding payments promptly. A lower DSO implies that ZoomInfo is efficient in managing its accounts receivable, improving liquidity, and potentially reducing the risk of bad debts. This trend suggests that ZoomInfo Technologies Inc has been successful in optimizing its credit policies and enhancing its cash flow management.
Peer comparison
Dec 31, 2024