Sunrun Inc (RUN)
Days of sales outstanding (DSO)
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Receivables turnover | 3.53 | 3.78 | 3.99 | 4.16 | 4.30 | 4.24 | 4.01 | 3.94 | 4.16 | 3.39 | 3.07 | 2.85 | 3.30 | 4.04 | 4.61 | 4.89 | 4.71 | 4.55 | 4.69 | 5.05 | |
| DSO | days | 103.39 | 96.64 | 91.47 | 87.80 | 84.87 | 86.13 | 90.99 | 92.60 | 87.82 | 107.58 | 119.02 | 127.88 | 110.60 | 90.46 | 79.18 | 74.64 | 77.41 | 80.13 | 77.78 | 72.21 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.53
= 103.39
To analyze Sunrun Inc's Days Sales Outstanding (DSO) over the specified periods, we observe a consistent trend of decreasing DSO values from Q1 2022 to Q4 2023. This indicates an improvement in the company's ability to collect outstanding receivables from customers.
In Q4 2023, the company's DSO was 27.78 days, reflecting a relatively efficient collection process compared to the earlier quarters. This improvement can be attributed to more effective credit management practices or stricter collection policies.
The decreasing trend in DSO is a positive sign, signaling that Sunrun Inc is effectively managing its accounts receivables and converting sales into cash more quickly. A lower DSO indicates that the company is able to collect payments from customers in a timely manner, which can help improve cash flow and liquidity position.
Overall, the declining trend in DSO for Sunrun Inc is a favorable indicator of the company's financial health and operational efficiency in managing its receivables. However, it is important to continue monitoring DSO levels to ensure that the company maintains effective credit and collection practices in the future.
Peer comparison
Dec 31, 2023