ANI Pharmaceuticals Inc (ANIP)
Cash conversion cycle
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 199.53 | 223.60 | 277.08 | 296.37 | 254.63 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 199.53 | 223.60 | 277.08 | 296.37 | 254.63 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 199.53 + — – —
= 199.53
ANI Pharmaceuticals Inc's cash conversion cycle, which represents the time it takes for the company to convert its investments in inventory and other resources into cash from sales, exhibits some fluctuations over the years based on the provided data.
At the end of 2020, the cash conversion cycle was 254.63 days, indicating a relatively lengthy period for the company to recoup its investment in inventory and receive cash from sales. However, this figure increased to 296.37 days by the end of 2021, suggestive of a potential delay in converting resources into cash and possibly inefficiencies in the company's working capital management.
By the end of 2022, there was a slight improvement as the cash conversion cycle decreased to 277.08 days, indicating a more efficient operating cycle. Subsequently, at the end of 2023, the cycle decreased further to 223.60 days, suggesting improved efficiency in managing inventory and collecting receivables.
By the end of 2024, there was another notable improvement, with the cash conversion cycle being 199.53 days, indicating a continued positive trend towards faster conversion of resources into cash.
Overall, the analysis of ANI Pharmaceuticals Inc's cash conversion cycle demonstrates fluctuations over the years, with some periods of inefficiency but also indications of improved working capital management and efficiency in converting investments into cash.
Peer comparison
Dec 31, 2024