Interpublic Group of Companies Inc (IPG)
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 | — | 18.79 | — | — | 117.90 | 17.30 | 18.60 | — | 0.24 | 0.65 | 0.72 | 1.28 | 0.36 | 0.16 | 0.22 | 0.22 | 0.04 | 0.91 | 1.16 | 0.73 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 0.00 | 18.79 | 0.00 | 0.00 | 117.90 | 17.30 | 18.60 | 0.00 | 0.24 | 0.65 | 0.72 | 1.28 | 0.36 | 0.16 | 0.22 | 0.22 | 0.04 | 0.91 | 1.16 | 0.73 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
Interpublic Group of Companies Inc has experienced fluctuations in its cash conversion cycle over the past few years, ranging from 0.00 days to 117.90 days. The cash conversion cycle represents the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales.
The company's cash conversion cycle has generally been low, indicating efficient management of working capital. However, there have been instances of sharp increases, particularly in December 2023, indicating potential issues in managing inventory, accounts receivable, and accounts payable during that period.
It is essential for Interpublic Group of Companies Inc to closely monitor and manage its cash conversion cycle to ensure optimal liquidity and operational efficiency. A lower cash conversion cycle typically signifies better management of cash flow and working capital, which can lead to improved financial performance and sustainability in the long run.
Peer comparison
Dec 31, 2024