Exxon Mobil Corp (XOM)

Days of sales outstanding (DSO)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Receivables turnover		9.06	9.91	8.82	8.82	9.82
DSO	days	40.27	36.84	41.38	41.39	37.15

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 9.06
= 40.27

Exxon Mobil Corp.'s Days of Sales Outstanding (DSO) measures the average number of days it takes the company to collect payment from its customers after making a sale. A lower DSO indicates faster collection of accounts receivable, which is generally favorable as it signifies efficient cash flow management.

Analyzing the trend of Exxon Mobil Corp.'s DSO over the past five years, we observe fluctuations in the metric. In 2023, the DSO increased to 41.03 days from 37.89 days in 2022, indicating a slight slowdown in collecting receivables. The DSO was higher in 2021 at 42.37 days compared to 2020 and 2019, showing a prolonged collection period during that year. However, in 2020 and 2019, the DSO was relatively lower at 41.79 days and 37.93 days, respectively, suggesting improved efficiency in accounts receivable management during those periods.

Overall, Exxon Mobil Corp.'s DSO has shown variability, possibly influenced by factors such as changes in industry payment terms, economic conditions, or company-specific strategies. Investors and analysts may want to further investigate the reasons behind these fluctuations to assess the company's effectiveness in managing its accounts receivable and cash flow.