Expand Energy Corporation (EXE)

Days of sales outstanding (DSO)

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Receivables turnover		16.02	14.42	20.48	14.71	15.91	18.70	16.41	8.17	6.09	4.67	4.05	4.98	4.57	5.63	5.12	7.04	8.75	13.73	11.71	8.68
DSO	days	22.78	25.32	17.82	24.82	22.94	19.52	22.24	44.70	59.92	78.10	90.08	73.34	79.92	64.88	71.26	51.85	41.69	26.58	31.17	42.04

September 30, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 16.02
= 22.78

Expand Energy Corporation's Days of Sales Outstanding (DSO) measures the average number of days it takes for the company to collect payments from its customers after making a sale.

Analyzing the trend of DSO over the past few quarters, we observe fluctuations in the collection period. The DSO for the current quarter, as of September 30, 2024, stands at 22.78 days, showing a slight decrease compared to the previous quarter's 25.32 days. This indicates that the company has improved its collection efficiency, as it now takes fewer days to collect payments from customers.

Looking further back, a notable improvement can be seen when comparing the current DSO with the same period a year ago. In September 2023, the DSO was higher at 41.69 days, demonstrating that Expand Energy Corporation has enhanced its accounts receivable management over the past year.

It is essential to note that DSO was significantly high in the past, reaching peaks of 90.08 days in June 2022 and 78.10 days in September 2022. This indicates that the company has faced challenges in managing its accounts receivable efficiently in the past but has made considerable progress in improving its collection processes.

Overall, the decreasing trend in DSO over the quarters suggests that Expand Energy Corporation has been working towards optimizing its credit and collection policies to enhance cash flow and overall financial performance. Continued monitoring of DSO will be crucial to ensure that the company maintains its efficient accounts receivable management practices in the future.