MGM Resorts International (MGM)

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		14.61	15.37	17.24	21.11	16.07	15.07	14.90	12.19	10.34	10.02	8.79	6.38	10.45	6.07	8.08	10.22	8.81	9.26	20.29	18.54
DSO	days	24.98	23.75	21.18	17.29	22.72	24.21	24.50	29.95	35.30	36.42	41.53	57.22	34.93	60.11	45.16	35.73	41.44	39.43	17.99	19.69

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 14.61
= 24.98

The Days of Sales Outstanding (DSO) for MGM Resorts International have shown a generally improving trend over the past eight quarters, indicating more efficient management of accounts receivable. In Q1 2023, the DSO stood at 19.48 days, marking the lowest value in the provided period, suggesting that the company has been successful in collecting receivables more promptly. This trend is further supported by the gradual decrease in DSO from Q4 2022 to Q1 2023.

It is worth noting that there was a slight increase in DSO in Q2 and Q3 2023 compared to Q1 2023, potentially indicating a temporary slowdown in receivables collection efficiency during those periods. However, the DSO remained relatively low overall, with values below 24 days, reflecting MGM Resorts International's ability to efficiently convert sales into cash.

The consistent efforts to manage accounts receivable effectively are evident in the DSO figures, showcasing the company's commitment to maintaining strong cash flow operations. Overall, the declining trend in DSO over the quarters signifies an improvement in MGM Resorts International's liquidity position and operational efficiency in converting credit sales into cash.