Pitney Bowes Inc (PBI)
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 | 15.80 | 15.01 | 12.62 | 13.13 | 11.65 | 13.69 | 14.88 | 14.49 | 12.64 | 13.14 | 11.99 | 12.75 | 11.45 | 10.06 | 9.75 | 9.36 | 10.19 | 11.32 | 13.24 | 13.32 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 15.80 | 15.01 | 12.62 | 13.13 | 11.65 | 13.69 | 14.88 | 14.49 | 12.64 | 13.14 | 11.99 | 12.75 | 11.45 | 10.06 | 9.75 | 9.36 | 10.19 | 11.32 | 13.24 | 13.32 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 15.80 + — – —
= 15.80
The cash conversion cycle of Pitney Bowes Inc has fluctuated over the past few years. It started at 13.32 days as of March 31, 2020, declining to 9.36 days by March 31, 2021. This reduction indicates efficiency in converting its resources into cash. However, the trend reversed, with the cycle increasing to 15.80 days by December 31, 2024.
Overall, the company's cash conversion cycle saw some short-term improvements in efficiency but ended up taking longer to convert its investments into cash by the end of the period. This may suggest potential challenges in managing working capital effectively or changes in the company's operating environment impacting its cash conversion cycle. Further analysis would be needed to understand the underlying factors driving these changes and to assess the implications for Pitney Bowes Inc's financial performance.