Medtronic PLC (MDT)

Cash conversion cycle

		Apr 30, 2025	Apr 30, 2024	Apr 26, 2024	Apr 30, 2023	Apr 28, 2023
Days of inventory on hand (DOH)	days	—	169.78	78.03	180.24	82.57
Days of sales outstanding (DSO)	days	70.91	69.11	67.86	70.11	69.44
Number of days of payables	days	—	78.43	36.04	90.65	41.53
Cash conversion cycle	days	70.91	160.46	109.84	159.70	110.48

April 30, 2025 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= — + 70.91 – —
= 70.91

The cash conversion cycle of Medtronic PLC has shown fluctuations over the reported periods. On April 28, 2023, the company had a cash conversion cycle of 110.48 days, indicating that it takes approximately 110 days to convert its investments in inventory and accounts receivable into cash inflow from sales. This period increased to 159.70 days by April 30, 2023, suggesting a delay in the conversion of investments to cash.

However, there was a notable improvement in the cash conversion cycle to 109.84 days by April 26, 2024, indicating a more efficient management of inventory and receivables. Nonetheless, by April 30, 2024, the cycle increased to 160.46 days, indicating a possible less efficient management of cash resources and operations.

The most recent data on April 30, 2025, shows a significant improvement in the cash conversion cycle to 70.91 days, suggesting enhanced efficiency in converting investments to cash inflows. Overall, these fluctuations in the cash conversion cycle of Medtronic PLC reflect variations in the company's management of working capital, inventory, and accounts receivable, impacting its cash flow performance across the reported periods.