eBay Inc (EBAY)
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 | — | — | — | — | 241.30 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 0.00 | 0.00 | 0.00 | 0.00 | 241.30 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
The cash conversion cycle of eBay Inc has shown significant improvement over the years. In 2020, the company had a cash conversion cycle of 241.30 days, indicating that it took them approximately 241 days to convert inventory and accounts receivable into cash.
However, the cash conversion cycle dramatically improved in the following years. By the end of 2021, eBay managed to achieve a cash conversion cycle of 0.00 days, indicating that they were able to convert inventory and accounts receivable into cash almost instantly. This trend continued in subsequent years, with the cash conversion cycle remaining at 0.00 days from 2022 to 2024.
A cash conversion cycle of 0.00 days is an exceptional achievement as it signifies that eBay Inc is effectively managing its working capital and converting its assets into cash efficiently. This indicates strong liquidity and operational efficiency within the company.
Peer comparison
Dec 31, 2024