Everus Construction Group Inc (ECG)
Cash conversion cycle
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 6.36 | 6.16 | 5.55 | — |
| Days of sales outstanding (DSO) | days | — | — | — | — |
| Number of days of payables | days | — | — | — | — |
| Cash conversion cycle | days | 6.36 | 6.16 | 5.55 | 0.00 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 6.36 + — – —
= 6.36
The cash conversion cycle of Everus Construction Group Inc has shown a consistent trend over the years, starting at 0.00 days on December 31, 2021, and gradually increasing to 5.55 days on December 31, 2022, 6.16 days on December 31, 2023, and 6.36 days on December 31, 2024. This indicates that the company is taking slightly longer to convert its investments in inventory into cash receipts from sales over time. While a longer cash conversion cycle may imply inefficiencies in working capital management, it is essential to analyze the underlying reasons for this trend to identify potential areas for improvement and ensure sustainable cash flow generation in the future.
Peer comparison
Dec 31, 2024