Innoviva Inc (INVA)
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 | 218.01 | 172.54 | 184.29 | 216.19 | 282.50 | 373.22 | 516.25 | 653.49 | 976.89 | 1,816.46 | 131.20 | — | — | — | — | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 218.01 | 172.54 | 184.29 | 216.19 | 282.50 | 373.22 | 516.25 | 653.49 | 976.89 | 1,816.46 | 131.20 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 218.01 + — – —
= 218.01
The cash conversion cycle of Innoviva Inc has experienced significant fluctuations over the past few quarters. The company's cash conversion cycle, which represents the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales, has been stable at 0.00 days for several consecutive quarters.
However, starting from June 30, 2022, the cash conversion cycle sharply increased to 131.20 days, indicating a potential strain on the company's liquidity and working capital management. This trend continued to worsen through September 30, 2022, reaching a staggering 1,816.46 days, suggesting severe inefficiencies in the company's operations.
Subsequently, there was a notable improvement in the cash conversion cycle by December 31, 2022, decreasing to 976.89 days. This improvement continued into the following periods, with further reductions in the cycle duration. As of December 31, 2024, the cash conversion cycle stands at 218.01 days, indicating a more efficient management of working capital and liquidity.
Overall, Innoviva Inc's cash conversion cycle exhibited significant volatility during the period under review, reflecting potential challenges in managing cash flow and working capital, followed by efforts to optimize operational efficiency and financial performance.
Peer comparison
Dec 31, 2024