Philip Morris International Inc (PM)
Cash conversion cycle
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 264.05 | 247.20 | 257.72 | 305.34 | 290.13 | 208.28 | 225.76 | 266.87 | 274.21 | 265.81 | 287.33 | 301.16 | 318.19 | 257.60 | 278.18 | 270.61 | 274.49 | 251.10 | 243.36 | 117.70 |
| Days of sales outstanding (DSO) | days | 29.68 | 23.50 | 19.18 | 16.75 | 17.23 | 17.30 | 17.40 | 16.03 | 13.99 | 18.95 | 20.76 | 19.47 | 17.27 | 18.72 | 19.55 | 15.44 | 17.24 | 17.86 | 19.95 | 16.92 |
| Number of days of payables | days | 101.54 | 90.55 | 98.56 | 112.45 | 119.62 | 97.31 | 98.04 | 98.43 | 104.75 | 91.39 | 86.96 | 84.71 | 92.23 | 68.03 | 61.76 | 62.02 | 68.33 | 50.17 | 50.35 | 25.64 |
| Cash conversion cycle | days | 192.19 | 180.16 | 178.35 | 209.64 | 187.74 | 128.27 | 145.13 | 184.47 | 183.46 | 193.36 | 221.13 | 235.91 | 243.24 | 208.29 | 235.97 | 224.03 | 223.40 | 218.78 | 212.96 | 108.98 |
December 31, 2023 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 264.05 + 29.68 – 101.54
= 192.19
The cash conversion cycle of Philip Morris International Inc has shown some fluctuations over the past eight quarters. In Q4 2023, the company's cash conversion cycle was 233.29 days, indicating an improvement from the previous quarter. However, compared to Q3 and Q2 of 2023, the cycle was still relatively high.
Looking back at Q1 2023 and Q4 2022, the cash conversion cycle was 261.64 days and 240.64 days, respectively, showing a consistent trend of managing cash flow efficiency. In contrast, Q3 2022 displayed a notably lower cycle of 181.39 days, indicating a more effective cash management strategy during that period.
Overall, the historical data suggests that Philip Morris International Inc has experienced variability in their cash conversion cycle, with some quarters showing significant improvements while others have exhibited challenges in efficiently converting inputs into cash inflows. Further analysis would be needed to determine the specific factors influencing these fluctuations and to assess the company's overall cash management performance.
Peer comparison
Dec 31, 2023
See also:
Philip Morris International Inc Cash Conversion Cycle (Quarterly Data)