Hyatt Hotels Corporation (H)

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		7.41	8.51	8.12	7.73	7.19	7.80	7.29	6.31	5.20	6.98	5.13	3.93	6.09	8.81	12.93	14.00	12.71	12.01	9.91	10.10
DSO	days	49.27	42.88	44.96	47.20	50.78	46.77	50.09	57.86	70.23	52.32	71.10	92.82	59.95	41.41	28.22	26.07	28.73	30.39	36.83	36.15

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 7.41
= 49.27

To analyze the days of sales outstanding (DSO) of Hyatt Hotels Corporation based on the provided data, we observe a fluctuating trend over the previous eight quarters. DSO represents the number of days it takes for a company to collect revenue after a sale is made, indicating the efficiency of its accounts receivable management.

In Q1 2022, Hyatt had a high DSO of 61.79 days, reflecting a slower collection of revenue, which improved in the subsequent quarter to 54.41 days but remained relatively high. This trend continued as DSO decreased to 47.64 days in Q3 2022, suggesting an improvement in accounts receivable turnover.

However, in Q4 2022, the DSO increased again to 51.67 days, indicating a slight setback in collections efficiency. The trend continued in Q1 2023 with a DSO of 48.03 days, followed by a further increase in Q2 2023 to 44.10 days, signaling a quicker collection of revenue.

In Q3 2023, the DSO decreased to 42.17 days, representing the most efficient collection period in the provided data. This improvement in DSO indicates an enhanced management of accounts receivable and a more effective cash flow management.

Overall, the fluctuating trend of DSO for Hyatt Hotels Corporation highlights the importance of monitoring and managing accounts receivable effectively to optimize cash flow and ensure timely collection of revenue.