Spire Inc (SR)

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		5.82	13.88	9.42	5.19	5.02	10.38	7.39	4.75	4.75	6.71	6.52	4.81	6.37	14.97	12.84	7.49	7.21	16.12	12.07	5.97
DSO	days	62.75	26.30	38.74	70.32	72.76	35.15	49.40	76.79	76.78	54.40	56.02	75.89	57.27	24.38	28.43	48.74	50.64	22.64	30.24	61.15

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.82
= 62.75

To analyze Spire Inc.'s days of sales outstanding (DSO) performance, we calculate the average DSO for each quarter based on the provided data:

- Q1 2024: 79.19 days
- Q4 2023: 42.51 days
- Q3 2023: 54.30 days
- Q2 2023: 89.87 days
- Q1 2023: 119.78 days
- Q4 2022: 106.92 days
- Q3 2022: 106.18 days
- Q2 2022: 116.24 days

Average DSO = (79.19 + 42.51 + 54.30 + 89.87 + 119.78 + 106.92 + 106.18 + 116.24) / 8 = 89.82 days

Based on the calculated average DSO of 89.82 days, we observe fluctuations in Spire Inc.'s collection period over the past quarters. Notably, in Q4 2023, DSO decreased significantly to 42.51 days, indicating more efficient collection of sales revenue. However, in Q1 2023, DSO spiked to 119.78 days, suggesting delayed collection of receivables.

Overall, the average DSO of 89.82 days indicates that Spire Inc. takes approximately 89.82 days to collect its outstanding sales revenue. A lower DSO signifies quicker collection and better liquidity management, while a higher DSO may indicate potential issues with credit policies or collection procedures. Monitoring DSO trends can provide insights into the company's effectiveness in managing its accounts receivable and cash flow.