ACADIA Pharmaceuticals Inc (ACAD)
Cash conversion cycle
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 97.89 | 285.90 | 354.26 | 359.27 | 313.98 | 289.76 | 245.53 | 250.44 | 238.26 | 206.81 | 155.41 | 147.04 | 150.28 | 239.14 | 196.84 | 185.69 | 171.97 | 141.49 | 110.72 | 115.35 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 97.89 | 285.90 | 354.26 | 359.27 | 313.98 | 289.76 | 245.53 | 250.44 | 238.26 | 206.81 | 155.41 | 147.04 | 150.28 | 239.14 | 196.84 | 185.69 | 171.97 | 141.49 | 110.72 | 115.35 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 97.89 + — – —
= 97.89
The cash conversion cycle of ACADIA Pharmaceuticals Inc has shown fluctuations over the past few years. The company's cash conversion cycle, which represents the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales, has varied from as low as 97.89 days to as high as 359.27 days.
The trend indicates a significant increase in the cash conversion cycle in recent periods, reaching a peak of 359.27 days on March 31, 2024. This suggests that the company took longer to convert its investments into cash during that period. However, the cycle decreased to 97.89 days by December 31, 2024, indicating improvement in the efficiency of the company's operations in terms of converting resources into cash.
It is essential for ACADIA Pharmaceuticals Inc to closely monitor and manage its cash conversion cycle to ensure optimal working capital management and liquidity. A shorter cash conversion cycle generally indicates that the company is efficient in managing its inventory and accounts receivable, thereby enhancing cash flows and overall liquidity. On the other hand, a longer cycle may signal inefficiencies that could impact the company's financial performance and ability to meet its obligations in a timely manner.
Peer comparison
Dec 31, 2024