Monarch Casino & Resort Inc (MCRI)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		13.92	12.93	42.67	21.62	31.12
DOH	days	26.21	28.24	8.55	16.88	11.73

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 13.92
= 26.21

The days of inventory on hand (DOH) for Monarch Casino & Resort, Inc. have exhibited fluctuations over the past five years. In 2023, the DOH decreased to 12.58 days from 13.20 days in 2022, indicating an improvement in managing inventory levels efficiently. This reduction may suggest better inventory management practices, such as streamlined procurement processes or more accurate demand forecasting.

Comparing the current DOH of 12.58 days to 2019 and 2020, where the DOH was significantly higher at 21.24 days and 35.58 days, respectively, highlights a trend towards more effective inventory management. A lower DOH implies that Monarch Casino & Resort, Inc. is holding less inventory relative to its sales levels, which can lead to cost savings and improved cash flow.

The decreasing trend in DOH over the past few years is a positive indicator of operational efficiency and effectiveness in inventory management for Monarch Casino & Resort, Inc. However, it is essential to continue monitoring and optimizing inventory levels to ensure alignment with demand patterns and minimize holding costs.