G-III Apparel Group Ltd (GIII)
Cash conversion cycle
| Jan 31, 2025 | Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 92.71 | 102.32 | 121.81 | 105.12 | 115.99 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 92.71 | 102.32 | 121.81 | 105.12 | 115.99 |
January 31, 2025 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 92.71 + — – —
= 92.71
Based on the data provided, G-III Apparel Group Ltd's cash conversion cycle has fluctuated over the past five years. The trend shows that the company's efficiency in converting its investments in inventory and accounts receivable into cash has improved gradually.
As of January 31, 2021, the cash conversion cycle stood at 115.99 days, indicating that it took the company an average of approximately 116 days to convert its investments into cash. Over the next two years, there was a slight improvement, with the cycle reducing to 105.12 days by January 31, 2022, and then increasing to 121.81 days by January 31, 2023.
However, from January 31, 2023, there was a significant improvement in the cash conversion cycle for G-III Apparel Group Ltd. By January 31, 2024, it decreased to 102.32 days, reflecting a more efficient management of inventory and accounts receivable. The most recent data as of January 31, 2025, shows a further improvement to 92.71 days, indicating the company's enhanced ability to cycle cash through its operations more quickly.
Overall, the decreasing trend in the cash conversion cycle over the years suggests that G-III Apparel Group Ltd has been improving its efficiency in managing working capital and converting investments into cash, which could signify better liquidity and financial health for the company.
Peer comparison
Jan 31, 2025