Mattel Inc (MAT)
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 | 4.90 | 3.22 | 5.48 | 7.44 | 6.08 | 4.09 | 5.71 | 6.32 | 4.75 | 3.41 | 6.09 | 6.56 | 4.22 | 3.22 | 6.35 | 8.07 | 4.66 | 3.42 | 5.77 | 6.93 | |
| DSO | days | 74.45 | 113.52 | 66.67 | 49.07 | 60.04 | 89.14 | 63.94 | 57.72 | 76.86 | 106.99 | 59.94 | 55.64 | 86.43 | 113.33 | 57.48 | 45.20 | 78.39 | 106.86 | 63.26 | 52.64 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 4.90
= 74.45
To analyze Mattel Inc's days of sales outstanding (DSO) over the provided periods, we observe fluctuations in the DSO metric. DSO represents the average number of days it takes for the company to collect payment after making a sale.
Between Dec 31, 2019, and Dec 31, 2023, Mattel's DSO has experienced variations, reflecting changes in the efficiency of their accounts receivable management. The highest DSO was recorded on Sep 30, 2020, at 113.33 days, indicating a longer period for receivables collection. Conversely, the lowest DSO was noted on Mar 31, 2020, at 45.20 days, suggesting improved efficiency in collecting payments from customers.
A significant decline in DSO from Sep 30, 2023 (113.52 days) to Mar 31, 2023 (49.07 days) indicates a notable improvement in receivables management efficiency. This reduction may be attributed to effective credit policies or enhanced collection processes during this period.
It is critical for Mattel Inc to monitor its DSO consistently and aim to maintain it at optimal levels. A lower DSO signifies faster cash conversion from sales, leading to improved liquidity and financial stability for the company.
In conclusion, analyzing Mattel Inc's DSO trend provides insights into the company's ability to manage its receivables effectively, impacting its cash flow and overall financial performance.