Adobe Systems Incorporated (ADBE)
Cash conversion cycle
| Nov 30, 2024 | Nov 29, 2024 | Dec 1, 2023 | Nov 30, 2023 | Dec 2, 2022 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | — | 35.17 | 41.82 | — | 42.91 |
| Number of days of payables | days | — | 55.88 | 48.69 | — | 63.90 |
| Cash conversion cycle | days | 0.00 | -20.71 | -6.86 | 0.00 | -20.98 |
November 30, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
The cash conversion cycle reflects the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales. Looking at the data provided for Adobe Systems Incorporated, the cash conversion cycle exhibits fluctuations over the years. In December 2, 2022, the company had a negative cash conversion cycle of -20.98 days, indicating that it was able to quickly convert its investments into cash. However, by November 30, 2023, the cash conversion cycle became 0.00 days, signifying that the company took longer to convert its resources into cash. This trend continued into December 1, 2023, with a slightly improved -6.86 days, showing progress in efficiency. Subsequently, on November 29, 2024, the cycle decreased to -20.71 days, indicating a significant improvement in cash conversion efficiency, but reverted to 0.00 days by November 30, 2024. Overall, Adobe Systems Incorporated has experienced fluctuations in its cash conversion cycle, with some periods of exceptional efficiency and others indicating room for improvement in managing its working capital effectively.
Peer comparison
Nov 30, 2024