International Seaways Inc (INSW)
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 | 1.73 | 0.32 | 1.60 | 0.52 | 1.18 | 1.05 | 0.56 | 0.64 | 0.49 | 0.80 | 0.73 | 2.08 | 2.13 | 2.97 | 31.03 | 3.52 | 5.21 | 1.96 | 2.57 | 4.72 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 1.73 | 0.32 | 1.60 | 0.52 | 1.18 | 1.05 | 0.56 | 0.64 | 0.49 | 0.80 | 0.73 | 2.08 | 2.13 | 2.97 | 31.03 | 3.52 | 5.21 | 1.96 | 2.57 | 4.72 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 1.73 + — – —
= 1.73
International Seaways Inc's cash conversion cycle measures the time it takes for the company to convert its investments in inventory and other resources into cash flows. A shorter cash conversion cycle indicates that the company is able to efficiently manage its working capital.
From March 31, 2020, to December 31, 2024, the cash conversion cycle for International Seaways Inc has varied significantly, showing some fluctuations. In June 2021, there was a significant spike in the cash conversion cycle to 31.03 days, which may indicate delays in converting investments into cash during that period. However, there was a marked improvement in the following quarters, with the cycle reducing to as low as 0.32 days by September 30, 2024.
Overall, International Seaways Inc's cash conversion cycle trended downwards over the period, pointing to enhanced efficiency in managing working capital. The company's ability to swiftly convert investments into cash suggests effective inventory management and improved liquidity position, which is a positive signal for investors and stakeholders.
Peer comparison
Dec 31, 2024