Expeditors International of Washington, Inc. (EXPD)

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	—	—	—	—	—	9.02	5.87	5.48	6.31	11.00	16.40	18.98	25.10	24.61	18.13	14.53	13.79	11.09	7.28	7.42
Days of sales outstanding (DSO)	days	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Number of days of payables	days	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Cash conversion cycle	days	0.00	0.00	0.00	0.00	0.00	9.02	5.87	5.48	6.31	11.00	16.40	18.98	25.10	24.61	18.13	14.53	13.79	11.09	7.28	7.42

December 31, 2024 calculation

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

The cash conversion cycle of Expeditors International of Washington, Inc. fluctuated over the reported periods. It started at 7.42 days as of March 31, 2020, demonstrating a relatively efficient conversion of inventory to cash. However, the cycle increased to 25.10 days by December 31, 2021, indicating a lengthening time period between cash outflows for inventory and cash inflows from sales.

The cycle then decreased, reaching its lowest point of 0.00 days by the end of December 31, 2023, which suggests a significant improvement in efficiency in managing cash flows. Subsequently, the cash conversion cycle remained at 0.00 days throughout the following reported periods until the end of December 31, 2024.

Overall, the trend of the cash conversion cycle for Expeditors International of Washington, Inc. indicates both efficient and inefficient periods in managing working capital during the analyzed timeframe, with significant improvements achieved towards the latter half of the reporting periods. Efforts to maintain a lower or zero days cash conversion cycle can enhance liquidity and overall financial performance.