Hertz Global Holdings Inc (HTZ)
Cash conversion cycle
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | 21.12 | 23.24 | 26.56 | 26.56 | 30.39 | — | — | 29.42 | 87.28 | 94.60 | 158.28 | 226.23 | 48.63 | 59.31 | 21.71 | 27.23 | 12.68 | 13.17 | 22.83 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 0.00 | 21.12 | 23.24 | 26.56 | 26.56 | 30.39 | 0.00 | 0.00 | 29.42 | 87.28 | 94.60 | 158.28 | 226.23 | 48.63 | 59.31 | 21.71 | 27.23 | 12.68 | 13.17 | 22.83 |
December 31, 2023 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
The cash conversion cycle of Hertz Global Holdings Inc. has shown some fluctuations over the past five quarters. In Q4 2023, the company's cash conversion cycle was 46.39 days, indicating the time it takes for the company to convert its investments in inventory and other resources into cash from sales, payables, and receivables. This represents a decrease from the previous quarter's figure of 55.69 days.
Although the cash conversion cycle decreased in Q4 2023, it remained higher compared to Q1 and Q4 2022. This suggests that the company may be experiencing delays in receiving payments from customers or extending its payment period to suppliers.
Overall, monitoring the trend of the cash conversion cycle is crucial for managing working capital efficiently and improving the company's liquidity and operational performance.
Peer comparison
Dec 31, 2023