Grocery Outlet Holding Corp (GO)
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 | 47.18 | 46.83 | 49.09 | 47.19 | 41.40 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 47.18 | 46.83 | 49.09 | 47.19 | 41.40 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 47.18 + — – —
= 47.18
The cash conversion cycle of Grocery Outlet Holding Corp has shown a slight increase over the past five years. In December 2020, the company had a cash conversion cycle of 41.40 days, which increased to 47.19 days by December 2021. The trend continued with further increases to 49.09 days by December 2022 and a slight dip to 46.83 days by December 2023. By the end of December 2024, the cash conversion cycle had returned to a level similar to the previous year at 47.18 days.
Overall, the company's cash conversion cycle fluctuated within a relatively narrow range over the five-year period, indicating that Grocery Outlet Holding Corp was able to efficiently manage its cash flow and working capital during this time. This consistency in the cash conversion cycle suggests that the company maintained a balance between its operations, accounts receivable, and inventory management, which is crucial for sustaining a healthy liquidity position.
Peer comparison
Dec 31, 2024