Monro Muffler Brake Inc (MNRO)
Activity ratios
Short-term
Turnover ratios
| Mar 31, 2024 | Dec 23, 2023 | Sep 23, 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 2.93 | 3.83 | 4.19 | 2.93 | 2.91 | 3.14 | 4.88 | 6.75 | 5.13 | 3.96 | 2.77 | 2.53 | 2.26 | 3.11 | 4.28 | 4.21 | 4.16 | 4.31 | 4.45 | 4.29 |
| Receivables turnover | — | 1,558.87 | 63,809.85 | — | — | — | — | — | — | — | 566.40 | 386.80 | 101.27 | 159.29 | 167.76 | 157.64 | 152.40 | 744.15 | 675.40 | — |
| Payables turnover | 1.79 | 2.14 | 2.19 | 1.50 | 1.64 | 1.95 | 3.58 | 5.57 | 6.47 | 5.71 | 3.77 | 3.49 | 3.26 | 3.89 | 5.63 | 6.71 | 7.84 | 6.69 | 7.03 | 7.11 |
| Working capital turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 65.16 | 11.64 | 3.60 | — | — | — |
Monro Muffler Brake Inc's activity ratios fluctuated over the periods analyzed.
1. Inventory turnover: Monro Muffler Brake Inc saw varying levels of inventory turnover, ranging from 2.26 to 6.75. Higher turnover ratios indicate that the company efficiently manages its inventory levels. The ratios were generally in the range of 2.26 to 6.75, with some fluctuations over time.
2. Receivables turnover: Monro Muffler Brake Inc had a significant increase in receivables turnover from 101.27 to 63,809.85, indicating a substantial improvement in the collection of receivables. However, the data for some periods were missing, making it difficult to analyze the trend consistently.
3. Payables turnover: The payables turnover ratios ranged from 1.50 to 7.84, indicating how quickly the company pays its suppliers. Higher ratios suggest that the company is managing its trade payables efficiently. The ratios showed some variability but generally ranged from 1.50 to 7.84 over the periods.
4. Working capital turnover: The data for working capital turnover were missing for the periods analyzed, making it challenging to provide a detailed analysis of this ratio. Working capital turnover measures how efficiently a company utilizes its working capital to generate sales.
In conclusion, Monro Muffler Brake Inc's activity ratios show some fluctuations and improvements in managing inventory, receivables, and payables over the periods analyzed. Further analysis with complete data for all periods would provide a more comprehensive understanding of the company's performance in terms of activity ratios.
Average number of days
| Mar 31, 2024 | Dec 23, 2023 | Sep 23, 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 124.76 | 95.30 | 87.04 | 124.44 | 125.26 | 116.07 | 74.81 | 54.10 | 71.10 | 92.06 | 131.81 | 144.49 | 161.62 | 117.45 | 85.26 | 86.67 | 87.73 | 84.60 | 82.01 | 85.04 |
| Days of sales outstanding (DSO) | days | — | 0.23 | 0.01 | — | — | — | — | — | — | — | 0.64 | 0.94 | 3.60 | 2.29 | 2.18 | 2.32 | 2.39 | 0.49 | 0.54 | — |
| Number of days of payables | days | 204.00 | 170.76 | 166.36 | 242.96 | 222.41 | 187.52 | 102.01 | 65.57 | 56.44 | 63.97 | 96.73 | 104.70 | 111.92 | 93.78 | 64.86 | 54.43 | 46.57 | 54.54 | 51.90 | 51.34 |
Monro Muffler Brake Inc's activity ratios provide insights into the efficiency of the company's operations.
1. Days of Inventory on Hand (DOH):
- Monro Muffler Brake Inc's DOH has shown variations over recent quarters, indicating fluctuations in inventory management efficiency.
- The company held inventory for about 124.76 days, on average, as of March 31, 2024, which is higher compared to historical averages.
- A decreasing trend in DOH would signify more efficient inventory turnover and management.
2. Days of Sales Outstanding (DSO):
- DSO measures the average number of days it takes for the company to collect payment after a sale is made.
- The company predominantly had zero or extremely low DSO in most recent quarters, implying efficient collection of receivables.
- A low or decreasing DSO indicates a shortened cash conversion cycle and effective credit management.
3. Number of Days of Payables:
- Monro Muffler Brake Inc has experienced fluctuations in the number of days of payables, reflecting changes in vendor payment practices.
- The company's payables are at around 204.00 days as of March 31, 2024, indicating a significant payment period, potentially allowing for improved cash flow management.
- Extending payables could aid in liquidity management but may also impact relationships with suppliers if not managed carefully.
Overall, while Monro Muffler Brake Inc demonstrates effective management of receivables and payables, there may be room for improvement in inventory management to enhance operational efficiency and cash flow generation.
Long-term
| Mar 31, 2024 | Dec 23, 2023 | Sep 23, 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | 4.49 | 4.43 | 4.41 | 4.28 | 4.28 | 4.30 | 4.32 | 4.37 | 4.24 | 4.16 | 3.98 | 3.71 | 3.36 | 3.22 | 3.42 | 3.52 | 3.74 | 3.77 | 3.84 | 3.84 |
| Total asset turnover | 0.74 | 0.73 | 0.74 | 0.73 | 0.74 | 0.73 | 0.74 | 0.74 | 0.71 | 0.69 | 0.68 | 0.63 | 0.61 | 0.59 | 0.61 | 0.61 | 0.60 | 0.72 | 0.75 | 0.76 |
Monro Muffler Brake Inc's fixed asset turnover has been relatively stable over the past several quarters, ranging from 4.16 to 4.49. This indicates that the company generates approximately $4.16 to $4.49 in sales for every $1 of fixed assets it owns. The high fixed asset turnover suggests that Monro Muffler Brake efficiently utilizes its fixed assets to generate revenue.
In contrast, the total asset turnover ratio has shown some fluctuations but generally remains within the range of 0.59 to 0.76. This ratio reveals that Monro Muffler Brake generates approximately $0.59 to $0.76 in sales for every $1 of total assets. A lower total asset turnover compared to fixed asset turnover indicates that a significant portion of the company's assets may not be actively involved in revenue generation.
Overall, while the fixed asset turnover suggests efficient utilization of fixed assets, the total asset turnover indicates that there may be room for improvement in maximizing the overall efficiency of asset utilization. Further analysis of the components contributing to total assets could provide insights into strategies for enhancing total asset turnover.