ANI Pharmaceuticals Inc (ANIP)
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 | 178.56 | 201.68 | 181.02 | 186.46 | 206.33 | 236.62 | 255.19 | 266.02 | 277.08 | 256.69 | 264.15 | 264.17 | 296.37 | 246.73 | 283.89 | 256.31 | 254.63 | 268.69 | 254.80 | 274.93 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 178.56 | 201.68 | 181.02 | 186.46 | 206.33 | 236.62 | 255.19 | 266.02 | 277.08 | 256.69 | 264.15 | 264.17 | 296.37 | 246.73 | 283.89 | 256.31 | 254.63 | 268.69 | 254.80 | 274.93 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 178.56 + — – —
= 178.56
The cash conversion cycle of ANI Pharmaceuticals Inc has shown fluctuating trends over the period from March 31, 2020, to December 31, 2024. Initially, the cycle was at its highest at 274.93 days in March 2020, indicating a longer period required to convert raw materials into cash.
There was a gradual improvement in the cash conversion cycle, with a decrease to 254.80 days by June 2020. However, there was some volatility in the cycle over the subsequent quarters until December 2021, where it increased to 296.37 days. This suggests potential challenges in managing the time taken to collect receivables and convert inventory into sales.
From March 2023 onwards, there was a significant improvement in the cash conversion cycle, with a steady decline reaching 186.46 days by March 31, 2024. This indicates that the company was able to efficiently manage its working capital, reducing the time taken to convert investments in inventory and receivables into cash.
Overall, the trend in the cash conversion cycle of ANI Pharmaceuticals Inc reflects periods of optimization followed by fluctuations, with recent improvements indicating better control over working capital management. Continued monitoring and improvement in efficiency in converting assets into cash will be crucial for the company's financial health and operational performance.
Peer comparison
Dec 31, 2024