Myriad Genetics Inc (MYGN)
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 | 39.80 | 34.00 | 36.32 | 28.26 | 55.51 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 39.80 | 34.00 | 36.32 | 28.26 | 55.51 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 39.80 + — – —
= 39.80
The cash conversion cycle of Myriad Genetics Inc has shown fluctuations over the past five years. It decreased from 55.51 days as of December 31, 2020, to 28.26 days as of December 31, 2021, indicating an improvement in the company's efficiency in converting its investments in inventory into cash.
However, in the subsequent years, the cash conversion cycle increased to 36.32 days as of December 31, 2022, 34.00 days as of December 31, 2023, and 39.80 days as of December 31, 2024. This upward trend suggests a potential slowdown in the company's ability to collect cash from its sales and convert it back into cash.
Overall, while there was an initial improvement in the cash conversion cycle, the subsequent years saw an increase, which may warrant further analysis to identify the factors contributing to this trend and potential strategies to optimize the cycle for better liquidity and operational efficiency.
Peer comparison
Dec 31, 2024