Halliburton Company (HAL)

Days of sales outstanding (DSO)

		Dec 31, 2024	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
Receivables turnover		4.48	4.32	4.35	4.54	4.74	4.46	4.53	4.18	4.38	4.11	3.98	4.00	4.17	4.05	3.87	3.96	4.65	5.16	5.62	4.44
DSO	days	81.39	84.45	83.87	80.47	77.06	81.80	80.53	87.41	83.37	88.85	91.79	91.33	87.46	90.23	94.40	92.22	78.49	70.72	64.92	82.18

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.48
= 81.39

The Days of Sales Outstanding (DSO) is a crucial financial metric that quantifies how efficiently a company collects its accounts receivable. Analyzing the DSO trend of Halliburton Company from March 31, 2020, to December 31, 2024, provides insights into its collections efficiency over time.

The DSO for Halliburton ranged from 64.92 days to 94.40 days during this period. The average DSO over this timeframe stands at approximately 84 days, indicating that, on average, Halliburton takes around 84 days to collect its accounts receivable.

The trend in Halliburton's DSO shows some fluctuations, with some quarters exhibiting higher DSO figures while others show lower values. For example, the DSO peaked at 94.40 days on June 30, 2021, suggesting a slower collections process during that period. In contrast, the lowest DSO was recorded at 64.92 days on June 30, 2020, indicating faster collections during that particular quarter.

Overall, analyzing Halliburton's DSO trend can help assess the effectiveness of its accounts receivable management and its ability to convert sales into cash. A decreasing DSO trend typically signifies improved collections efficiency, while an increasing trend may raise concerns about liquidity or credit policies. As such, monitoring DSO over time can provide valuable insights into Halliburton's financial health and operational performance.