BWX Technologies Inc (BWXT)
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 | 7.18 | 5.33 | 4.97 | 3.78 | 3.54 |
| Days of sales outstanding (DSO) | days | 20.58 | 12.89 | 10.13 | 12.32 | 26.74 |
| Number of days of payables | days | 28.17 | 24.65 | 27.60 | 44.03 | 43.47 |
| Cash conversion cycle | days | -0.40 | -6.42 | -12.50 | -27.93 | -13.19 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 7.18 + 20.58 – 28.17
= -0.40
The cash conversion cycle of BWX Technologies Inc has exhibited fluctuations over the years, recording values of -13.19 days in 2020, -27.93 days in 2021, -12.50 days in 2022, -6.42 days in 2023, and -0.40 days in 2024. The negative values suggest that the company efficiently converts its inventory and receivables into cash, indicating a strong liquidity position and effective management of working capital. The significant improvement observed from 2021 to 2024 indicates enhanced efficiency in operating cash flows and quicker cash conversion processes. This trend reflects positively on the company's ability to generate cash and manage its resources effectively, contributing to its overall financial health and stability.
Peer comparison
Dec 31, 2024