Cytek Biosciences Inc (CTKB)
Cash conversion cycle
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 179.31 | 188.32 | 205.26 | 223.54 | 265.83 | 315.51 | 341.97 | 394.99 | 278.71 | 303.58 | 281.80 | 257.69 | 241.13 | 225.10 | 236.72 | 231.70 | 204.27 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 179.31 | 188.32 | 205.26 | 223.54 | 265.83 | 315.51 | 341.97 | 394.99 | 278.71 | 303.58 | 281.80 | 257.69 | 241.13 | 225.10 | 236.72 | 231.70 | 204.27 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 179.31 + — – —
= 179.31
The cash conversion cycle of Cytek Biosciences Inc has shown fluctuations over the years based on the provided data. The cycle represents the time it takes for the company to convert its investments in inventory and other resources into cash flows from sales. A higher number of days in the cash conversion cycle indicates a longer period for the company to recover its investment in inventory and generate cash from sales.
From December 31, 2020 to September 30, 2022, the cash conversion cycle steadily increased from 204.27 days to 303.58 days, indicating a slower conversion of assets into cash during this period. This may suggest challenges in managing inventory, collecting receivables, and timing of payables during these quarters.
However, starting from December 31, 2022, there was a significant decrease in the cash conversion cycle, reaching a low of 179.31 days by the end of December 31, 2024. This reduction could indicate improvements in inventory management, efficient collection of receivables, or negotiation of better payment terms with suppliers. A shorter cash conversion cycle generally indicates improved liquidity and operational efficiency.
Overall, monitoring the trends in the cash conversion cycle can provide insights into Cytek Biosciences Inc's operational efficiency, working capital management, and potential liquidity challenges or opportunities for improvement in the future.
Peer comparison
Dec 31, 2024