Certara Inc (CERT)
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 | — | — | 8.54 | 2.70 | 6.91 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 0.00 | 0.00 | 8.54 | 2.70 | 6.91 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
The cash conversion cycle of Certara Inc has shown variations over the years based on the provided data.
On December 31, 2020, the company's cash conversion cycle was 6.91 days, indicating that it took approximately 6.91 days for Certara to convert its investments in inventory into cash receipts from customers.
By December 31, 2021, the cash conversion cycle decreased significantly to 2.70 days, reflecting an improvement in the efficiency of Certara's working capital management.
However, on December 31, 2022, the cash conversion cycle increased to 8.54 days, signifying a potential delay in the company's ability to convert its resources into cash inflows.
In the subsequent years of 2023 and 2024, the cash conversion cycle was reported as 0.00 days, suggesting that Certara was able to quickly convert its investments into cash without experiencing any delays in the mentioned periods.
Overall, the fluctuating trend in Certara's cash conversion cycle indicates varying levels of operational efficiency and effectiveness in managing its liquidity and working capital requirements during the specified years.
Peer comparison
Dec 31, 2024