nVent Electric PLC (NVT)
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 | 67.28 | 66.52 | 79.60 | 80.37 | 83.83 | 91.03 | 95.65 | 74.22 | 69.83 | 76.62 | 79.61 | 78.11 | 77.29 | 77.34 | 74.86 | 68.72 | 68.72 | 68.55 | 69.74 | 68.04 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 67.28 | 66.52 | 79.60 | 80.37 | 83.83 | 91.03 | 95.65 | 74.22 | 69.83 | 76.62 | 79.61 | 78.11 | 77.29 | 77.34 | 74.86 | 68.72 | 68.72 | 68.55 | 69.74 | 68.04 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 67.28 + — – —
= 67.28
The cash conversion cycle for nVent Electric PLC has shown some fluctuations over the periods analyzed.
From March 31, 2020, to June 30, 2020, there was a slight increase in the cash conversion cycle from 68.04 days to 69.74 days. However, the cycle decreased to 68.55 days by September 30, 2020. From December 31, 2020, to March 31, 2021, there was minimal change in the cycle staying at 68.72 days.
Subsequently, the cash conversion cycle increased gradually, reaching a peak of 79.61 days on June 30, 2022. This was followed by a slight decrease in the cycle over the next few quarters, with the cycle dropping to 66.52 days by September 30, 2024.
Overall, nVent Electric PLC has experienced fluctuations in its cash conversion cycle over the periods, indicating variations in the efficiency of the company's working capital management. It is essential for the company to focus on optimizing its cash conversion cycle to ensure efficient cash flow operations.
Peer comparison
Dec 31, 2024