National Beverage Corp (FIZZ)
Cash conversion cycle
| Apr 27, 2024 | Jan 27, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Jan 25, 2020 | Oct 26, 2019 | Jul 27, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 40.46 | 42.63 | 44.57 | 44.25 | 44.01 | 43.89 | 41.91 | 43.86 | 52.36 | 46.63 | 42.33 | 38.59 | 40.10 | 39.70 | 38.98 | 36.01 | 36.76 | 35.92 | 39.81 | 43.24 |
| Days of sales outstanding (DSO) | days | 31.50 | 31.44 | 31.01 | 33.33 | 32.65 | 30.28 | 31.58 | 31.98 | 30.02 | 26.90 | 29.23 | 33.01 | 29.43 | 25.73 | 28.79 | — | 30.98 | 27.07 | 27.16 | 31.42 |
| Number of days of payables | days | 37.44 | 35.24 | 38.43 | 41.55 | 40.02 | 32.35 | 40.00 | 36.96 | 48.30 | 36.03 | 48.55 | 46.86 | 49.79 | 39.84 | 45.62 | 42.51 | 43.07 | 34.59 | 35.73 | 38.69 |
| Cash conversion cycle | days | 34.52 | 38.82 | 37.15 | 36.03 | 36.63 | 41.82 | 33.49 | 38.87 | 34.08 | 37.50 | 23.02 | 24.74 | 19.74 | 25.59 | 22.15 | -6.50 | 24.68 | 28.40 | 31.24 | 35.97 |
April 27, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 40.46 + 31.50 – 37.44
= 34.52
The cash conversion cycle of National Beverage Corp has shown some fluctuation over the past few years. It measures the time it takes for the company to convert its investments in inventory and other resources into cash from sales.
The company's cash conversion cycle ranged from a negative 6.50 days to 41.82 days over the past two years, indicating variations in the efficiency of the company's working capital management. A negative cash conversion cycle suggests that the company is able to collect cash from customers before paying its suppliers, which can be a sign of strong liquidity and efficient operations.
Overall, National Beverage Corp has shown some variability in its cash conversion cycle, indicating potential areas for improvement in managing its working capital effectively. It is important for the company to monitor and optimize its inventory management, accounts receivable collection, and accounts payable processes to enhance its cash conversion cycle and overall financial performance.
Peer comparison
Apr 27, 2024