Honeywell International Inc (HON)
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 | 3.02 | 98.06 | 84.84 | 80.16 | 73.91 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 3.02 | 98.06 | 84.84 | 80.16 | 73.91 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 3.02 + — – —
= 3.02
The cash conversion cycle for Honeywell International Inc has shown a fluctuating trend over the years. Starting at 73.91 days in December 2020, the cycle increased to 80.16 days in December 2021, further rising to 84.84 days by December 2022. A significant spike was observed in December 2023, reaching 98.06 days, indicating a potential delay in converting company resources into cash during that period. However, there was a remarkable improvement in efficiency by December 2024, with the cash conversion cycle drastically reducing to just 3.02 days. Overall, Honeywell's management of its cash conversion cycle demonstrates variations in operational effectiveness and efficiency over the years.
Peer comparison
Dec 31, 2024