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.