CSW Industrials Inc (CSWI)
Cash conversion cycle
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 146.66 | 124.46 | 134.12 | 147.90 | 152.73 |
| Days of sales outstanding (DSO) | days | 63.02 | 65.68 | 59.12 | 71.55 | 84.19 |
| Number of days of payables | days | 41.22 | 39.95 | 33.75 | 47.13 | 50.52 |
| Cash conversion cycle | days | 168.47 | 150.19 | 159.49 | 172.32 | 186.41 |
March 31, 2025 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 146.66 + 63.02 – 41.22
= 168.47
CSW Industrials Inc's cash conversion cycle has shown a decreasing trend over the past five years, indicating potential improvements in the company's ability to efficiently manage its working capital. As of March 31, 2025, the cash conversion cycle stands at 168.47 days, down from 186.41 days in March 31, 2021. This suggests that CSW Industrials Inc has been successful in reducing the time it takes to convert its investments in inventory and other resources into cash receipts from sales. However, it's worth noting that in 2023 and 2024, there was a slight increase in the cash conversion cycle compared to the preceding years, possibly indicating a temporary setback in working capital management. Overall, the decreasing trend in the cash conversion cycle is a positive indicator of the company's efficiency in managing its cash flows and working capital.
Peer comparison
Mar 31, 2025