Dominion Energy Inc (D)
Receivables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,393,000 | 13,938,000 | 13,964,000 | 14,172,000 | 14,401,000 |
| Receivables | US$ in thousands | 3,509,000 | 4,457,000 | 3,347,000 | 3,607,000 | 3,541,000 |
| Receivables turnover | 4.10 | 3.13 | 4.17 | 3.93 | 4.07 |
December 31, 2023 calculation
Receivables turnover = Revenue ÷ Receivables
= $14,393,000K ÷ $3,509,000K
= 4.10
The receivables turnover ratio is a measure of how efficiently a company collects payments from its customers. Dominion Energy Inc's receivables turnover ratio has been fluctuating over the past five years. The ratio decreased from 6.27 in 2019 to 5.65 in 2020, then increased to 5.44 in 2021, further increased to 5.12 in 2022, and finally rose to 5.74 in 2023.
A higher receivables turnover ratio typically indicates that the company is more efficient in collecting payments from its customers. The improvement in the ratio from 2020 to 2023 suggests that Dominion Energy Inc has made progress in managing its accounts receivable effectively. However, it is important to note that the ratio is still lower than the 2019 level, indicating some room for further improvement in receivables management efficiency.
Overall, Dominion Energy Inc's receivables turnover ratio has shown variability over the years, and investors and analysts may want to continue monitoring this metric to assess the company's ability to collect payments in a timely manner.
Peer comparison
Dec 31, 2023