H2O America (HTO)

Days of sales outstanding (DSO)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Receivables turnover		5.25	5.31	5.62	5.48	5.48
DSO	days	69.51	68.76	64.95	66.66	66.66

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.25
= 69.51

The days of sales outstanding (DSO) for H2O America over the period from December 31, 2020, to December 31, 2024, exhibit a relatively stable trend with minor fluctuations. At the end of 2020 and 2021, the DSO was consistent at 66.66 days, indicating a stable collection cycle during these years. In 2022, the DSO experienced a slight decline to 64.95 days, suggesting a marginal improvement in accounts receivable collection efficiency. However, this trend did not continue, as by the end of 2023, the DSO increased to 68.76 days, reflecting a slight elongation in the collection period. The upward movement persisted into 2024, with the DSO reaching 69.51 days, indicating a modest worsening in the company's receivables turnover. Overall, the data suggest that while H2O America has maintained a relatively consistent DSO in the mid-60s range, there is an incremental trend toward longer collection periods in recent years, which could have implications for cash flow management and operational liquidity.