Home Depot Inc (HD)
Cash conversion cycle
| Jan 31, 2025 | Jan 31, 2024 | Jan 28, 2024 | Jan 31, 2023 | Jan 29, 2023 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 80.59 | 75.28 | 75.28 | 86.82 | 86.82 |
| Days of sales outstanding (DSO) | days | — | — | 7.96 | — | 7.69 |
| Number of days of payables | days | — | — | 36.02 | — | 39.92 |
| Cash conversion cycle | days | 80.59 | 75.28 | 47.21 | 86.82 | 54.59 |
January 31, 2025 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 80.59 + — – —
= 80.59
The cash conversion cycle for Home Depot Inc has been fluctuating over the years. In January 2023, the company's cash conversion cycle was 54.59 days, which increased significantly to 86.82 days by January 31, 2023. However, Home Depot managed to improve its cash conversion cycle to 47.21 days by January 28, 2024, showing a positive trend. Yet, by January 31, 2024, the cash conversion cycle slightly increased to 75.28 days before further increasing to 80.59 days by January 31, 2025. Overall, Home Depot's cash conversion cycle has shown variability, indicating the company's effectiveness in managing its cash flows and working capital efficiency over the analyzed period.
Peer comparison
Jan 31, 2025