Schlumberger NV (SLB)

Days of sales outstanding (DSO)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Receivables turnover		4.53	4.18	4.10	4.21	4.41
DSO	days	80.58	87.38	89.13	86.64	82.76

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.53
= 80.58

Days Sales Outstanding (DSO) is a key metric used to evaluate how efficiently a company is managing its accounts receivable. It measures the average number of days it takes for a company to collect payment after making a sale.

Analyzing the DSO trend of Schlumberger NV over the years reveals a slight fluctuation. In December 2020, the DSO stood at 82.76 days and increased to 86.64 days by December 2021. Subsequently, it further rose to 89.13 days by December 2022, indicating a potential delay in collecting receivables. However, there was a slight improvement in December 2023, with the DSO decreasing to 87.38 days. The most recent data point in December 2024 shows a decrease in DSO to 80.58 days, suggesting a more efficient accounts receivable management compared to the prior year.

Overall, Schlumberger NV's DSO trend reflects some variability in the collection period over the years. It is crucial for the company to monitor and manage its accounts receivable effectively to ensure timely collection of outstanding payments and optimize cash flow. Further analysis of the underlying reasons for these fluctuations in DSO could provide insights into the company's credit policies, customer payment behavior, and overall financial performance.