Bloomin Brands Inc (BLMN)

Cash conversion cycle

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Days of inventory on hand (DOH) days 9.15 9.91 10.83 17.80 20.02
Days of sales outstanding (DSO) days
Number of days of payables days 22.80 23.30 23.00 40.67 40.31
Cash conversion cycle days -13.65 -13.39 -12.17 -22.86 -20.29

December 31, 2023 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= 9.15 + — – 22.80
= -13.65

The cash conversion cycle for Bloomin Brands Inc has shown a fluctuating trend over the past five years. The cycle measures the time it takes for the company to sell inventory, collect receivables, and pay suppliers, indicating the efficiency of its working capital management.

In 2023, the cash conversion cycle decreased to -21.29 days, indicating that the company was able to convert its inventory and receivables into cash more quickly than in the previous year. This suggests improved efficiency in managing cash flows.

Comparing this to the previous years, the cycle was also negative in 2022 at -16.95 days, showing a further improvement from 2021 when it was -15.48 days. However, in 2020, the cycle was slightly higher at -17.63 days, and in 2019, it stood at -12.70 days.

Overall, the negative values indicate that Bloomin Brands Inc has been able to operate with a negative cash conversion cycle, meaning it is able to collect cash from customers before paying its suppliers. This efficient management of working capital is a positive indicator of the company's financial health and operational efficiency.


Peer comparison

Dec 31, 2023