CoreCivic Inc (CXW)
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 | — | 19.60 | 18.53 | 28.91 | 27.66 | — | — | — | 23.38 | 12.76 | 10.13 | 329.93 | 329.27 | 13.95 | 24.04 | 21.87 | 35.62 | 33.66 | 40.33 | 45.00 |
| Days of sales outstanding (DSO) | days | 60.08 | 52.40 | 51.40 | 50.53 | 61.80 | 58.01 | 53.94 | 51.48 | 55.42 | 44.82 | 55.35 | 50.70 | 51.28 | 50.07 | 45.60 | 50.06 | 51.74 | 50.45 | 51.81 | 53.14 |
| Number of days of payables | days | 101.47 | — | — | — | 130.16 | — | — | — | 120.54 | — | — | — | 94.75 | — | — | — | 109.17 | — | — | — |
| Cash conversion cycle | days | -41.40 | 72.00 | 69.93 | 79.44 | -40.71 | 58.01 | 53.94 | 51.48 | -41.74 | 57.58 | 65.48 | 380.62 | 285.80 | 64.02 | 69.64 | 71.93 | -21.80 | 84.10 | 92.14 | 98.15 |
December 31, 2023 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + 60.08 – 101.47
= -41.40
The cash conversion cycle for CoreCivic Inc has been relatively stable over the past eight quarters, ranging from 50.53 days to 61.80 days. The company takes an average of around 55 days to convert its investments in inventory into cash from the sale of goods and services. This indicates that CoreCivic Inc is efficiently managing its working capital and operating cycle, ensuring that it maintains a healthy level of cash flow. A lower cash conversion cycle suggests that the company is able to quickly turn its resources into cash, which is a positive sign for its financial health. By closely monitoring and potentially improving its cash conversion cycle, CoreCivic Inc can continue to optimize its working capital management and enhance its overall financial performance.
Peer comparison
Dec 31, 2023