Dominion Energy Inc (D)
Cash conversion cycle
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 85.43 | 83.36 | 83.47 | 99.10 | 82.35 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 85.43 | 83.36 | 83.47 | 99.10 | 82.35 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 85.43 + — – —
= 85.43
The cash conversion cycle of Dominion Energy Inc has shown some fluctuations over the past five years. As of December 31, 2020, the company had a cash conversion cycle of 82.35 days, indicating the number of days it takes for the company to convert its investments in inventory and other resources into cash flows from sales.
By the end of December 31, 2021, the cash conversion cycle increased to 99.10 days, suggesting a lengthier period for the company to convert its resources into cash receipts. However, in the subsequent years, there was a slight improvement as the cash conversion cycle decreased to 83.47 days by December 31, 2022, 83.36 days by December 31, 2023, and 85.43 days by December 31, 2024.
Overall, Dominion Energy Inc's cash conversion cycle has experienced some variability, with a general upward trend initially followed by a partial recovery in the later years. It is essential for the company to closely monitor and potentially optimize its working capital management to ensure efficient use of resources and timely cash conversions.
Peer comparison
Dec 31, 2024