Cracker Barrel Old Country Store (CBRL)
Cash conversion cycle
| Aug 2, 2024 | Apr 26, 2024 | Jan 26, 2024 | Oct 27, 2023 | Jul 28, 2023 | Apr 28, 2023 | Jan 27, 2023 | Oct 28, 2022 | Jul 29, 2022 | Apr 29, 2022 | Jan 28, 2022 | Oct 29, 2021 | Jul 30, 2021 | Apr 30, 2021 | Jan 29, 2021 | Oct 30, 2020 | Jul 31, 2020 | May 1, 2020 | Jan 31, 2020 | Nov 1, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 24.51 | 24.40 | 24.30 | 29.21 | 26.58 | 25.94 | 26.60 | 33.63 | 31.82 | 29.49 | 24.42 | 26.82 | 24.27 | 25.20 | 27.37 | 29.97 | 25.98 | 25.23 | 25.35 | 30.63 |
| Days of sales outstanding (DSO) | days | 5.17 | 6.05 | 4.42 | 3.43 | 3.45 | 3.41 | 3.93 | 3.62 | 3.88 | 5.90 | 5.18 | 5.55 | 6.28 | 7.87 | 11.44 | 7.37 | 7.09 | — | 3.12 | — |
| Number of days of payables | days | 21.98 | 19.17 | 19.19 | 20.20 | 23.23 | 18.53 | 19.24 | 19.72 | 25.35 | 19.23 | 19.67 | 23.22 | 23.72 | 21.63 | 24.03 | 26.18 | 19.33 | 15.18 | 19.87 | 23.69 |
| Cash conversion cycle | days | 7.70 | 11.28 | 9.53 | 12.45 | 6.80 | 10.82 | 11.28 | 17.53 | 10.35 | 16.16 | 9.94 | 9.15 | 6.83 | 11.43 | 14.78 | 11.16 | 13.74 | 10.04 | 8.60 | 6.94 |
August 2, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 24.51 + 5.17 – 21.98
= 7.70
The cash conversion cycle of Cracker Barrel Old Country Store has exhibited fluctuations over the analyzed periods. The cash conversion cycle represents the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales, and then back into cash through the collection of accounts receivable. A shorter cash conversion cycle indicates more efficient management of working capital.
From the data provided, we can observe that the cash conversion cycle varied between around 6.80 days to 17.53 days over the past few reporting periods. Notably, the cash conversion cycle peaked at 17.53 days on October 28, 2022, suggesting a longer period for the company to convert its investments into cash at that time.
Overall, Cracker Barrel Old Country Store has generally maintained a relatively stable cash conversion cycle, with some fluctuation within a range over the analyzed periods. It is important for the company to focus on managing its working capital efficiently to ensure optimal cash flow and liquidity.
Peer comparison
Aug 2, 2024