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Shopify (NYSE:SHOP) Days Sales Outstanding

: 6.17 (As of Dec. 2023)
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Shopify's average Accounts Receivable for the three months ended in Dec. 2023 was $145 Mil. Shopify's Revenue for the three months ended in Dec. 2023 was $2,144 Mil. Hence, Shopify's Days Sales Outstanding for the three months ended in Dec. 2023 was 6.17.

The historical rank and industry rank for Shopify's Days Sales Outstanding or its related term are showing as below:

SHOP' s Days Sales Outstanding Range Over the Past 10 Years
Min: 2.26   Med: 20.4   Max: 30.68
Current: 12.2

During the past 12 years, Shopify's highest Days Sales Outstanding was 30.68. The lowest was 2.26. And the median was 20.40.

SHOP's Days Sales Outstanding is ranked better than
95.16% of 2725 companies
in the Software industry
Industry Median: 62.45 vs SHOP: 12.20

Shopify's Days Sales Outstanding declined from Dec. 2022 (26.73) to Dec. 2023 (6.17).


Shopify Days Sales Outstanding Historical Data

The historical data trend for Shopify's Days Sales Outstanding can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Shopify Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Days Sales Outstanding
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 25.16 21.61 26.03 30.68 19.18

Shopify Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Days Sales Outstanding Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 26.73 24.96 10.50 3.01 6.17

Competitive Comparison

For the Software - Application subindustry, Shopify's Days Sales Outstanding, along with its competitors' market caps and Days Sales Outstanding data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Shopify Days Sales Outstanding Distribution

For the Software industry and Technology sector, Shopify's Days Sales Outstanding distribution charts can be found below:

* The bar in red indicates where Shopify's Days Sales Outstanding falls into.



Shopify Days Sales Outstanding Calculation

Days Sales Outstanding measures the average number of days that a company takes to collect revenue after a sale has been made. It is a financial ratio that illustrates how well a company's Accounts Receivable are being managed.

Accounts Receivable can be measured by Days Sales Outstanding.

Shopify's Days Sales Outstanding for the fiscal year that ended in Dec. 2023 is calculated as

Days Sales Outstanding (A: Dec. 2023 )
=Average Accounts Receivable /Revenue*Days in Period
=( (Accounts Receivable (A: Dec. 2022 ) + Accounts Receivable (A: Dec. 2023 )) / count ) / Revenue (A: Dec. 2023 )*Days in Period
=( (500 + 242) / 2 ) / 7060*365
=371 / 7060*365
=19.18

Shopify's Days Sales Outstanding for the quarter that ended in Dec. 2023 is calculated as:

Days Sales Outstanding (Q: Dec. 2023 )
=Average Accounts Receivable /Revenue*Days in Period
=( (Accounts Receivable (A: Sep. 2023 ) + Accounts Receivable (A: Dec. 2023 )) / count ) / Revenue (A: Dec. 2023 )*Days in Period
=( (48 + 242) / 2 ) / 2144*365 / 4
=145 / 2144*365 / 4
=6.17

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Shopify  (NYSE:SHOP) Days Sales Outstanding Explanation

For retailers, when we compare Days Sales Outstanding, it is important to compare the same period in the previous years.


Shopify Days Sales Outstanding Related Terms

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Shopify (NYSE:SHOP) Business Description

Industry
Address
151 O'Connor Street, Ground Floor, Ottawa, ON, CAN, K2P2L8
Shopify offers an e-commerce platform primarily to small and medium-size businesses. The firm has two segments. The subscription solutions segment allows Shopify merchants to conduct e-commerce on a variety of platforms, including the company's website, physical stores, pop-up stores, kiosks, social networks (Facebook), and Amazon. The merchant solutions segment offers add-on products for the platform that facilitate e-commerce and include Shopify Payments, Shopify Shipping, and Shopify Capital.

Shopify (NYSE:SHOP) Headlines