Bruker Corporation (BRKR)

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	243.54	238.40	214.51	241.18	195.56
Days of sales outstanding (DSO)	days	66.23	68.18	62.93	61.58	63.79
Number of days of payables	days	50.98	53.16	44.53	46.89	40.12
Cash conversion cycle	days	258.79	253.42	232.91	255.87	219.23

December 31, 2023 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= 243.54 + 66.23 – 50.98
= 258.79

The cash conversion cycle of Bruker Corp has shown some fluctuation over the past five years. In 2023, the cash conversion cycle was 253.14 days, slightly lower than the previous year. This indicates that the company took slightly less time to convert its investments in inventory and accounts receivable into cash.

Compared to 2021, the cycle has increased, suggesting a longer period to convert investments into cash. In 2019, the cycle was at its lowest point at 219.23 days, indicating a more efficient management of working capital.

Overall, Bruker Corp should continue to monitor and analyze its cash conversion cycle to ensure it is effectively managing its working capital and optimizing cash flows.