Community Healthcare Trust Inc (CHCT)
Cash conversion cycle
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 388.06 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 388.06 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 388.06 + — – —
= 388.06
The cash conversion cycle of Community Healthcare Trust Inc has shown a slight increase in the most recent quarter, standing at 74.80 days in Q4 2023 compared to 73.47 days in Q3 2023. This indicates that the company takes approximately 75 days to convert its investments in inventory and accounts receivable into cash receipts from customers.
When comparing Q4 2023 to the same quarter in the previous year, there has been a noticeable worsening of the cash conversion cycle, with an increase from 67.66 days in Q4 2022 to 74.80 days in Q4 2023. This suggests that Community Healthcare Trust Inc may be facing challenges in efficiently managing its working capital and converting its assets into cash.
Overall, the trend in the cash conversion cycle over the past year shows a general increase, indicating a potential need for the company to focus on improving its management of inventory and accounts receivable to accelerate the conversion of assets into cash and enhance its liquidity position.
Peer comparison
Dec 31, 2023