Olin Corporation (OLN)

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	51.63	52.64	56.03	53.06	55.31	61.20	62.94	58.26	47.79	46.61	47.68	47.41	47.90	48.11	45.56	45.72	45.82	42.80	43.14	44.57
Days of sales outstanding (DSO)	days	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Number of days of payables	days	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Cash conversion cycle	days	51.63	52.64	56.03	53.06	55.31	61.20	62.94	58.26	47.79	46.61	47.68	47.41	47.90	48.11	45.56	45.72	45.82	42.80	43.14	44.57

December 31, 2024 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= 51.63 + — – —
= 51.63

The cash conversion cycle of Olin Corporation has shown fluctuations over the past few years. It decreased from around 44 to 42 days in 2020 before slightly increasing to 45 days in 2021. Subsequently, there was a further increase to approximately 48 days by the end of 2021.

In 2022, the cycle remained relatively stable, hovering around 47 to 48 days. However, it increased significantly to 58 days by the first quarter of 2023 and peaked at 63 days by the second quarter of the same year.

By the end of 2024, the cycle decreased to about 52 days. Overall, the cash conversion cycle of Olin Corporation indicates fluctuations in the efficiency of its working capital management, with periods of both improvement and deterioration. This metric is important as it reflects the time it takes for the company to convert its resources into cash flow, impacting its liquidity and operational efficiency.