Monro Muffler Brake Inc (MNRO)
Cash conversion cycle
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Dec 23, 2023 | Sep 30, 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | 82.61 | 75.41 | 100.48 | 91.82 | 95.20 | 94.04 | 64.58 | 63.46 | 60.30 | 61.90 | 58.26 | 55.68 | 52.83 | 69.16 | 72.64 | 73.50 | 77.70 | 81.08 | 84.17 |
| Days of sales outstanding (DSO) | days | — | 4.44 | 4.38 | 3.57 | 11.88 | 4.38 | 0.23 | 4.09 | 0.01 | 3.96 | 14.32 | 3.58 | 3.41 | 3.16 | 8.79 | 4.02 | 5.19 | 5.53 | 13.37 | 7.28 |
| Number of days of payables | days | — | 148.23 | 139.17 | 172.72 | 150.13 | 170.58 | 168.50 | 123.43 | 121.29 | 117.74 | 109.90 | 94.12 | 75.93 | 64.03 | 54.90 | 50.48 | 53.94 | 56.31 | 56.15 | 67.21 |
| Cash conversion cycle | days | 0.00 | -61.18 | -59.37 | -68.67 | -46.43 | -71.00 | -74.23 | -54.76 | -57.83 | -53.48 | -33.69 | -32.28 | -16.84 | -8.04 | 23.05 | 26.18 | 24.75 | 26.93 | 38.30 | 24.25 |
March 31, 2025 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
Monro Muffler Brake Inc's cash conversion cycle has exhibited fluctuations over the reporting periods provided. The cycle reflects the time it takes for the company to convert its investments in inventory and accounts receivable into cash flows from sales.
The trend shows that as of March 31, 2025, Monro Muffler Brake Inc had achieved a zero-day cash conversion cycle, indicating an efficient management of its working capital. Prior to that, the company had experienced negative cash conversion cycles, suggesting a rapid conversion of inventory and accounts receivable into cash, potentially indicating strong sales and collection processes.
A negative cash conversion cycle means that the company is able to generate cash from its operating cycle before having to pay its suppliers, thus improving its cash flows and liquidity position. However, this also raises questions about the sustainability of such a rapid cycle and potential implications for relationships with suppliers.
Overall, the data suggests that Monro Muffler Brake Inc has effectively managed its working capital and cash conversion cycle, which is crucial for maintaining liquidity and operational efficiency in the long run.
Peer comparison
Mar 31, 2025