Valero Energy Corporation (VLO)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		11.51	14.75	10.91	10.63	12.05
DSO	days	31.70	24.74	33.45	34.35	30.29

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 11.51
= 31.70

The Days of Sales Outstanding (DSO) ratio for Valero Energy Corp. has fluctuated over the past five years. In 2023, the DSO was 31.58 days, representing the average number of days it takes for the company to collect revenue from its sales. This figure was higher compared to 2022 when the DSO was 24.66 days, indicating a potential slowdown in collecting receivables.

In 2021, the DSO increased further to 33.23 days, signaling a prolonged collection period compared to the previous year. Similarly, in 2020 and 2019, the DSO stood at 34.35 days and 30.00 days, respectively, indicating variations in the company's collection efficiency over the years.

Overall, the trend in Valero Energy Corp.'s DSO suggests potential challenges in managing accounts receivable and highlights the need to monitor and improve collection processes to enhance cash flow and working capital management.