Devon Energy Corporation (DVN)

Days of sales outstanding (DSO)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Receivables turnover		6.77	8.27	9.77	7.02	7.07
DSO	days	53.93	44.16	37.36	52.00	51.64

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 6.77
= 53.93

Devon Energy Corporation's days of sales outstanding (DSO) is a measure of how efficiently the company collects payments from its customers. The trend analysis based on the data provided shows fluctuations in DSO over the years:

- As of December 31, 2020, the DSO was 51.64 days.
- By December 31, 2021, the DSO increased slightly to 52.00 days.
- However, by December 31, 2022, there was a significant improvement as the DSO decreased to 37.36 days.
- The DSO increased to 44.16 days by December 31, 2023.
- Then, by December 31, 2024, the DSO rose further to 53.93 days.

The decrease in DSO from 2021 to 2022 indicates that Devon Energy Corporation was able to collect payments more efficiently during that period. However, the increase in DSO in the following years may raise concerns about the company's credit policies, collection procedures, or the quality of its accounts receivable.

Further analysis and comparison with industry benchmarks would be necessary to fully assess the effectiveness of Devon Energy Corporation's accounts receivable management and determine the underlying factors influencing the fluctuation in DSO over the years.