Caleres Inc (CAL)

Cash conversion cycle

Feb 3, 2024 Oct 28, 2023 Jul 29, 2023 Apr 29, 2023 Jan 28, 2023 Oct 29, 2022 Jul 30, 2022 Apr 30, 2022 Jan 29, 2022 Oct 30, 2021 Jul 31, 2021 May 1, 2021 Jan 30, 2021 Oct 31, 2020 Aug 1, 2020 May 2, 2020 Feb 1, 2020 Nov 2, 2019 Aug 3, 2019 May 4, 2019
Days of inventory on hand (DOH) days 74.88 76.89 89.77 75.35 76.52 86.69 104.44 89.10 84.16 75.25 80.67 65.77 84.48 87.16 93.40 87.73 87.81 145.50 506.90
Days of sales outstanding (DSO) days 20.04 21.59 18.30 20.16 18.49 21.46 17.37 24.57 20.42 26.96 21.00 26.11 27.77 31.71 24.89 20.10 20.27 25.35 41.56 72.41
Number of days of payables days 34.89 35.57 47.56 35.25 30.32 37.35 54.11 53.55 46.74 48.77 49.76 43.32 48.57 49.06 45.55 44.60 37.92 62.23 287.09
Cash conversion cycle days 60.03 62.91 60.51 60.26 64.69 70.80 67.70 60.11 57.83 53.43 51.92 48.56 63.69 69.81 72.75 63.22 70.17 108.63 261.37 72.41

February 3, 2024 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= 74.88 + 20.04 – 34.89
= 60.03

The cash conversion cycle of Caleres Inc has shown fluctuations over the past several reporting periods. The trend indicates that the company's ability to convert its investments in inventory and accounts receivable back into cash has varied significantly.

In recent quarters, the company has been able to manage its cash conversion cycle more efficiently, as evident from the decreasing trend. For example, in the most recent period, the cash conversion cycle was 60.03 days, which was lower compared to the previous quarter. This suggests that Caleres Inc has been more effective in managing its inventory and collections, leading to a quicker cash conversion cycle.

However, despite the recent improvements, there have been instances of longer cash conversion cycles in the past, such as 261.37 days in November 2019, which may indicate challenges in managing working capital effectively during that period.

Overall, the trend in the cash conversion cycle of Caleres Inc shows the company's ongoing efforts to optimize its working capital management. Investors and stakeholders should continue to monitor this metric to assess the company's operational efficiency and financial health.


Peer comparison

Feb 3, 2024