Chord Energy Corp (CHRD)
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 | 8.72 | 10.77 | 10.70 | 11.62 | 14.69 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 8.72 | 10.77 | 10.70 | 11.62 | 14.69 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 8.72 + — – —
= 8.72
The cash conversion cycle of Chord Energy Corp has shown a favorable trend over the past five years, decreasing from 14.69 days as of December 31, 2020, to 8.72 days as of December 31, 2024. This indicates that the company's ability to convert its investments in raw materials and production into cash has improved steadily over the period, reflecting efficient management of working capital and operating cycle. A lower cash conversion cycle generally signifies that Chord Energy Corp is able to collect receivables, sell inventory, and pay its liabilities more efficiently, which can lead to improved liquidity and cash flow management. This trend suggests that the company has been successful in optimizing its operations and enhancing its financial performance in recent years.
Peer comparison
Dec 31, 2024