Intel Corporation (INTC)

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	109.35	107.13	109.41	113.68	109.30	140.97	138.12	140.88	117.15	80.87	73.04	69.82	74.11	83.27	81.47	88.92	87.28	88.71	92.29	82.73
Days of sales outstanding (DSO)	days	23.13	20.79	21.15	—	25.88	—	—	—	44.25	39.54	35.50	34.30	32.77	33.70	34.73	41.12	39.71	36.08	32.78	36.40
Number of days of payables	days	84.30	81.00	79.95	70.72	79.30	78.37	90.14	85.11	62.48	56.06	49.02	44.70	49.08	46.32	45.83	44.60	41.20	49.39	49.69	43.25
Cash conversion cycle	days	48.18	46.92	50.61	42.96	55.88	62.60	47.98	55.78	98.92	64.35	59.53	59.41	57.80	70.64	70.38	85.43	85.78	75.41	75.39	75.88

December 31, 2023 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= 109.35 + 23.13 – 84.30
= 48.18

The cash conversion cycle of Intel Corporation, which measures the time it takes for the company to convert its investments in inventory and other resources into cash inflows from sales, has shown fluctuations over the past several quarters.

In the latest quarter ending December 31, 2023, the cash conversion cycle stood at 48.18 days, showing an improvement compared to the previous quarter. This suggests that Intel has been more efficient in managing its inventory, collecting receivables, and paying its payables within the operating cycle.

Looking at the trend over the past few quarters, there have been some fluctuations in the cash conversion cycle, indicating changes in Intel's working capital management practices. For example, there was a notable increase in the cycle in the third quarter of 2022, which could indicate potential challenges in managing working capital efficiently during that period.

Overall, Intel's cash conversion cycle has shown variability, with efforts to reduce the cycle time in certain quarters and challenges in maintaining efficiency in others. It is important for Intel to continue monitoring and improving its working capital management to enhance cash flow and operational efficiency.