Collegium Pharmaceutical Inc (COLL)
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 | 51.08 | 49.05 | 66.71 | 50.29 | 43.78 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 51.08 | 49.05 | 66.71 | 50.29 | 43.78 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 51.08 + — – —
= 51.08
The cash conversion cycle for Collegium Pharmaceutical Inc has shown some variability over the years. In 2020, the company's cash conversion cycle was 43.78 days, indicating that it took approximately this amount of time for the company to convert its investments in inventory and other resources into cash inflows from sales.
The cycle increased to 50.29 days in 2021, suggesting a slower conversion of investments into cash during that year. This trend continued in 2022, with the cycle peaking at 66.71 days, potentially indicating inefficiencies in the company's working capital management.
However, Collegium Pharmaceutical Inc managed to improve its cash conversion cycle in 2023, reducing it to 49.05 days. This improvement may reflect better inventory management practices or more efficient collection of receivables. In 2024, the cycle increased slightly to 51.08 days, showing a relatively stable performance compared to the previous year.
Overall, fluctuations in the cash conversion cycle of Collegium Pharmaceutical Inc indicate the company's ability to manage its working capital efficiently and optimize cash flow from its operations over the years. Additional analysis and comparison to industry benchmarks could provide further insights into the company's liquidity and operational efficiency.
Peer comparison
Dec 31, 2024