Boise Cascad Llc (BCC)
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 | 54.36 | 48.07 | 39.34 | 38.28 | 40.51 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 54.36 | 48.07 | 39.34 | 38.28 | 40.51 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 54.36 + — – —
= 54.36
Boise Cascad Llc's cash conversion cycle has fluctuated over the five-year period from December 31, 2020, to December 31, 2024. The company's cash conversion cycle decreased from 40.51 days in 2020 to 38.28 days in 2021, indicating an improvement in the efficiency of its working capital management. However, the cycle increased to 39.34 days in 2022, before experiencing a significant jump to 48.07 days in 2023 and further increasing to 54.36 days in 2024.
The increasing trend in the cash conversion cycle suggests that Boise Cascad Llc may be taking longer to convert its investments in inventory and accounts receivable into cash. This can have implications for the company's liquidity and operational efficiency. It is essential for the company to closely monitor and manage its working capital components to ensure optimal cash flow management and financial stability.
Peer comparison
Dec 31, 2024