ZoomInfo Technologies Inc (ZI)
Days of sales outstanding (DSO)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 4.77 | 7.08 | 6.12 | 5.27 | 4.32 | 5.19 | 5.34 | 4.96 | 4.60 | 5.67 | 5.22 | 4.55 | 3.62 | 5.17 | 4.89 | 3.94 | |
| DSO | days | 76.58 | 51.55 | 59.65 | 69.24 | 84.41 | 70.32 | 68.41 | 73.52 | 79.40 | 64.33 | 69.95 | 80.15 | 100.70 | 70.58 | 74.64 | 92.73 |
December 31, 2024 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.77
= 76.58
Days Sales Outstanding (DSO) is a key financial ratio that measures how efficiently a company is able to collect its accounts receivable. It indicates the average number of days it takes for a company to collect payment after making a sale.
Analyzing the DSO trend of ZoomInfo Technologies Inc from March 2021 to December 2024, we observe fluctuations in the number of days it takes for the company to collect its receivables. The trend shows both improvements and deteriorations in the efficiency of accounts receivable collection over the periods.
From March 2021 to September 2022, there is a consistent decline in DSO, indicating that ZoomInfo was able to collect its receivables more quickly during these periods, reflecting better efficiency in managing accounts receivable collection. However, there was a slight increase in DSO in December 2022, which raises a concern about the company's collection efficiency during that period.
The DSO dropped significantly to 51.55 days by September 2024, indicating a substantial improvement in the company's collections efficiency. This may suggest enhanced credit policies, more efficient collections processes, or improved customer payment behaviors.
Although there was a slight increase in DSO to 76.58 days by December 2024, the overall trend indicates that ZoomInfo was able to efficiently manage its accounts receivable during the period under review.
In conclusion, the DSO trend for ZoomInfo Technologies Inc demonstrates fluctuations but, overall, indicates improvements in collecting accounts receivable efficiently.
Peer comparison
Dec 31, 2024