Performance Food Group Co (PFGC)
Cash conversion cycle
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 23.40 | 24.26 | 27.42 | 24.98 | 25.45 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 23.40 | 24.26 | 27.42 | 24.98 | 25.45 |
June 30, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 23.40 + — – —
= 23.40
Performance Food Group Co's cash conversion cycle has shown some fluctuations over the years. In June 2020, the cash conversion cycle was 25.45 days, indicating the time it takes for the company to convert its resources into cash. By June 2021, the cycle decreased slightly to 24.98 days before increasing to 27.42 days by June 2022. However, in the following years, the cycle decreased significantly to 24.26 days in June 2023 and further to 23.40 days by June 2024.
Overall, the trend suggests that Performance Food Group Co has been able to manage its cash conversion cycle effectively, with the company improving its efficiency in converting inventory into cash over the years. These improvements indicate better working capital management and potentially enhanced liquidity for the company.
Peer comparison
Jun 30, 2024