Blackline Inc (BL)
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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 0.66 | — | — |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.66 | 0.00 | 0.00 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
The cash conversion cycle of Blackline Inc has shown a consistent trend of improvement, with the cycle decreasing from 0.66 days on September 30, 2020, to 0.00 days in subsequent quarters and remaining at that level since March 31, 2021. This indicates that the company has been able to efficiently manage its cash flow from the purchase of inventory to the collection of accounts receivable, resulting in a quicker conversion of investment in raw materials into cash receipts.
A cash conversion cycle of 0.00 days suggests that Blackline Inc is operating with minimal delays in receiving cash from its sales and in paying its suppliers, indicating a streamlined and effective working capital management process. This efficiency in cash conversion cycle can contribute to the company's overall financial health by reducing the need for external financing and improving liquidity.
Overall, the consistent and low cash conversion cycle exhibited by Blackline Inc reflects positively on its operational efficiency and financial management practices, potentially enabling the company to better navigate economic fluctuations and capitalize on growth opportunities.
Peer comparison
Dec 31, 2024