Industry Profiles

2011 Software Technology Bad Debt and DSO Benchmarks

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ActivisionBlizzard photo
Gaming software such as Activision Blizzard's StarCraft II, shown above, is the fastest growing sector in the software tech industry.

Overall credit risk improves but liquidity continues to decline in the volatile but richly capitalized software technology industry, an industry that continues to shrink due to increased acquisitions by larger companies. 

An industry that in 2006 had an average current ratio of 2.63 now has one of 2.09, according to the 2011 annual software technology benchmarks of 104 publicly-traded software companies just released by CreditPulse.  Median current ratio is even lower at 1.80.

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