International Flavors & Fragrances Inc (IFF)
Cash conversion cycle
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 101.36 | 103.84 | 101.65 | 113.14 | 115.94 | 117.32 | 125.78 | 130.01 | 138.75 | 136.24 | 131.89 | 123.05 | 115.94 | 132.23 | 166.86 | 240.58 | 137.78 | 138.98 | 141.18 | 129.07 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 101.36 | 103.84 | 101.65 | 113.14 | 115.94 | 117.32 | 125.78 | 130.01 | 138.75 | 136.24 | 131.89 | 123.05 | 115.94 | 132.23 | 166.86 | 240.58 | 137.78 | 138.98 | 141.18 | 129.07 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 101.36 + — – —
= 101.36
The cash conversion cycle of International Flavors & Fragrances Inc has fluctuated over the quarters analyzed. The trend shows an initial increase from March 2020 to March 2021, peaking at 240.58 days, indicating a longer period for the company to convert its investments in raw materials into cash from sales. Subsequently, there was a noticeable improvement in efficiency as the cash conversion cycle decreased significantly by June 2021 to 166.86 days and continued to decline until December 2024.
The company achieved its shortest cash conversion cycle of 101.36 days by December 2024, showcasing an enhancement in its working capital management and ability to swiftly convert inventory and receivables into cash. Overall, the declining trend in the cash conversion cycle suggests improved liquidity and operational efficiency for International Flavors & Fragrances Inc during the period under review.
Peer comparison
Dec 31, 2024