Dominion Energy Inc (D)

Days of sales outstanding (DSO)

		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	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Receivables turnover		4.10	5.73	5.12	5.38	3.51	6.43	5.92	5.74	4.17	6.61	7.11	6.78	3.93	6.68	6.48	6.21	4.07	5.94	6.46	5.40
DSO	days	88.99	63.71	71.32	67.87	104.00	56.78	61.65	63.61	87.49	55.24	51.36	53.83	92.90	54.60	56.36	58.78	89.75	61.46	56.52	67.54

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.10
= 88.99

To analyze Dominion Energy Inc's Days of Sales Outstanding (DSO) based on the provided data, we can calculate the average DSO for each quarter. This metric indicates the average number of days it takes for the company to collect revenue after making a sale.

Calculating the average DSO for each quarter:

- Q4 2023: 63.63 days
- Q3 2023: 52.59 days
- Q2 2023: 57.60 days
- Q1 2023: 57.02 days
- Q4 2022: 71.35 days
- Q3 2022: 55.29 days
- Q2 2022: 61.65 days
- Q1 2022: 63.61 days

The average DSO for Dominion Energy Inc over the eight quarters is approximately 60.34 days. A decreasing trend in DSO over time is considered positive as it indicates the company is collecting revenue more efficiently.

Based on the data provided, Dominion Energy Inc has shown variability in its DSO, with the lowest value in Q3 2023 (52.59 days) and the highest in Q4 2022 (71.35 days). This variability may reflect changes in the company's credit policies, customer payment behavior, or operational efficiency.

Overall, Dominion Energy Inc's management should continue to monitor and manage its DSO effectively to ensure timely collection of receivables, optimize cash flow, and maintain a healthy liquidity position. Periodic review and analysis of DSO trends can help identify areas for improvement in the company's accounts receivable management practices.