Valaris Ltd (VAL)
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 | 3.88 | 3.52 | 3.63 | 4.36 | 3.57 | 2.75 | 2.50 | 2.63 | 2.57 | 2.49 | 2.50 | 2.84 | 3.18 | 3.82 | 5.25 | 4.27 | 3.94 | 3.42 | 2.89 | 5.40 | |
| DSO | days | 93.96 | 103.65 | 100.69 | 83.77 | 102.29 | 132.57 | 145.74 | 139.02 | 141.96 | 146.82 | 145.81 | 128.49 | 114.88 | 95.47 | 69.47 | 85.56 | 92.57 | 106.67 | 126.11 | 67.58 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 3.88
= 93.96
Valaris Ltd's Days of Sales Outstanding (DSO) for Q4 2023 was 93.96 days, showing a significant improvement from the previous quarter's 103.65 days in Q3 2023. This indicates that the company was able to collect its accounts receivable more efficiently in the latest quarter. However, compared to Q2 2023 and Q4 2022, where the DSO was 100.69 days and 102.29 days, respectively, the Q4 2023 figure represents an overall improvement in the collection period.
It is noteworthy that the DSO in Q1 2023 was 83.77 days, which was the lowest among the listed quarters, suggesting exceptional efficiency in collecting payments from customers during that period. Despite the increase in DSO in subsequent quarters, the company managed to lower its collection period in Q4 2023 compared to the previous quarters, reflecting positively on its working capital management and liquidity position.
Peer comparison
Dec 31, 2023