Monarch Casino & Resort Inc (MCRI)

Days of sales outstanding (DSO)

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Receivables turnover 44.63 43.49 44.96 49.73 38.83 36.36 39.05 60.66 13.81 13.57 12.52 13.42 10.97 11.51 8.63 6.70 6.45 34.62 27.30 55.85
DSO days 8.18 8.39 8.12 7.34 9.40 10.04 9.35 6.02 26.43 26.90 29.15 27.20 33.29 31.71 42.30 54.44 56.56 10.54 13.37 6.53

December 31, 2024 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 44.63
= 8.18

Days Sales Outstanding (DSO) is a financial ratio that measures the average number of days it takes for a company to collect payment after making a sale. A lower DSO indicates that the company is collecting payments quickly, while a higher DSO may suggest potential issues with receivables management.

Analyzing the DSO trend of Monarch Casino & Resort Inc from March 31, 2020, to December 31, 2024, we observe fluctuations in the collection period:

- The DSO was relatively low in March 2020 at 6.53 days, indicating efficient collection of receivables.
- There was a significant increase in DSO in December 2020 and March 2021 to 56.56 and 54.44 days, respectively. This spike suggests a delay in collecting payments, possibly due to economic challenges or changes in customer payment behavior.
- Subsequently, there was a declining trend in DSO from June 2021 to December 2024, with values ranging from 26.43 to 9.40 days. This improvement indicates enhanced efficiency in receivables management and quicker collection of payments.
- The DSO remained relatively stable around 8-9 days from March 2024 to December 2024, indicating consistent collection practices.

Overall, the DSO trend of Monarch Casino & Resort Inc reflects fluctuations in its ability to collect payments promptly, with notable improvements in receivables management leading to a lower DSO in recent periods. Monitoring DSO can provide insights into the company's cash flow and operational efficiency in managing accounts receivable.