Glaukos Corp (GKOS)

Cash conversion cycle

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Days of inventory on hand (DOH)	days	55.07	46.87	47.75	33.83	21.73
Days of sales outstanding (DSO)	days	58.61	48.30	49.33	43.85	62.18
Number of days of payables	days	12.44	15.00	18.18	10.78	6.01
Cash conversion cycle	days	101.25	80.16	78.90	66.90	77.90

December 31, 2024 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= 55.07 + 58.61 – 12.44
= 101.25

The cash conversion cycle of Glaukos Corp has shown some fluctuations over the past five years. In December 31, 2020, the cash conversion cycle was 77.90 days, which decreased to 66.90 days by December 31, 2021. However, by December 31, 2022, it increased to 78.90 days and further to 80.16 days by December 31, 2023. The cycle increased significantly to 101.25 days by December 31, 2024.

Overall, the cash conversion cycle of Glaukos Corp has been somewhat volatile, with periods of improvement followed by deterioration. This metric reflects the company's efficiency in managing its working capital, including inventory, accounts receivable, and accounts payable. The increasing trend observed in recent years may indicate potential challenges in managing liquidity and converting investments into cash effectively.