Hyatt Hotels Corporation (H)

To analyze the Days of Sales Outstanding (DSO) of Hyatt Hotels Corporation based on the provided data, we observe a fluctuating trend over the past five years.

Dec 31, 2019: DSO was 30.48 days, indicating that, on average, it took approximately 30 days for the company to collect its accounts receivable from customers.

Dec 31, 2020: DSO increased to 55.83 days, suggesting a slower collection of accounts receivable compared to the previous year.

Dec 31, 2021: The DSO further spiked to 76.30 days, signifying a significant delay in collecting payments from customers, which could impact the company's cash flow and liquidity.

Dec 31, 2022: The DSO decreased to 51.67 days, but it remained higher compared to the levels seen in 2019 and 2020.

Dec 31, 2023: DSO improved to 48.34 days, indicating a more efficient collection of accounts receivable compared to the prior year.

Overall, the fluctuating trend in DSO reflects variations in Hyatt Hotels Corporation's collection efficiency and its ability to manage accounts receivable effectively. A lower DSO is generally favorable as it suggests quicker cash conversion, whereas a higher DSO may indicate potential liquidity or credit risks. It is essential for the company to closely monitor its DSO and implement strategies to optimize the collections process for better financial performance.

Peer comparison

Dec 31, 2023