LCI Industries (LCII)
Cash conversion cycle
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 93.96 | 93.22 | 95.54 | 116.63 | 86.25 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 93.96 | 93.22 | 95.54 | 116.63 | 86.25 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 93.96 + — – —
= 93.96
The cash conversion cycle of LCI Industries has shown some fluctuation over the past five years based on the provided data.
As of December 31, 2020, the company's cash conversion cycle was 86.25 days, indicating that it took LCI Industries approximately 86 days to convert its investments in inventory and other resources into cash from sales.
By December 31, 2021, the cash conversion cycle had increased to 116.63 days, suggesting a longer period for the company to collect cash from its operating cycle.
In the subsequent years, there was a decline in the cash conversion cycle, reaching 95.54 days by December 31, 2022, followed by modest improvements to 93.22 days by December 31, 2023, and 93.96 days by December 31, 2024.
Overall, LCI Industries has experienced varying efficiency levels in managing its working capital over the years, with fluctuations in the cash conversion cycle indicating potential changes in inventory and receivables management strategies.
Peer comparison
Dec 31, 2024