Equifax Inc (EFX)

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 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Days of inventory on hand (DOH) days 18.47 22.61 24.12 27.11 22.51 23.82 26.62 26.28 19.97 22.72 25.18 28.04 21.87 27.45 27.96 28.26
Days of sales outstanding (DSO) days
Number of days of payables days
Cash conversion cycle days 0.00 18.47 0.00 0.00 0.00 22.61 24.12 27.11 22.51 23.82 26.62 26.28 19.97 22.72 25.18 28.04 21.87 27.45 27.96 28.26

December 31, 2024 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00

The cash conversion cycle is an important financial metric that measures how long it takes for a company to convert its investments in inventory and other resources into cash inflows from sales. For Equifax Inc, we observe fluctuations in the cash conversion cycle over the periods provided.

Initially, from March 31, 2020, to December 31, 2021, the cash conversion cycle decreased steadily from 28.26 days to 19.97 days. This suggests that Equifax improved its efficiency in managing its working capital and converting its assets into cash during this period.

However, from March 31, 2022, to December 31, 2024, there were fluctuations in the cash conversion cycle ranging from 22.51 days to 18.47 days. There were instances where the cash conversion cycle dropped to 0.00 days, which may indicate significant efficiency improvements or changes in operating activities during those specific quarters.

Overall, it appears that Equifax has been actively managing its working capital and improving its cash conversion cycle. However, the variations in the cycle suggest fluctuating efficiencies in working capital management or changes in operating activities that impacted the speed of cash conversion during the periods analyzed.