Paramount Skydance Corporation Class B Common Stock (PSKY)

Cash conversion cycle

		Jun 30, 2025	Mar 31, 2025	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
Days of inventory on hand (DOH)	days	28.26	19.87	25.38	30.19	23.59	14.79	22.94	28.17	24.86	18.26	24.68	27.48	25.32	19.08	30.94	35.43	33.05	27.14	42.78	32.37
Days of sales outstanding (DSO)	days	79.85	86.87	86.46	80.00	81.62	86.13	87.58	84.02	87.64	90.34	89.72	80.09	85.47	93.01	89.18	89.31	94.64	102.51	101.29	71.21
Number of days of payables	days	15.29	13.86	16.92	14.99	14.74	13.05	17.85	15.31	19.62	20.79	25.80	17.37	16.03	19.62	16.46	18.75	14.02	14.61	13.90	7.55
Cash conversion cycle	days	92.82	92.88	94.91	95.21	90.47	87.87	92.68	96.88	92.88	87.82	88.60	90.21	94.76	92.47	103.66	105.99	113.67	115.04	130.17	96.04

June 30, 2025 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= 28.26 + 79.85 – 15.29
= 92.82

The data reflects the progression of the cash conversion cycle (CCC) for Paramount Skydance Corporation Class B Common Stock over a period extending from September 2020 to June 2025. The CCC measures the efficiency with which the company converts its investments in inventory and other resources into cash flows from sales. It encompasses the duration from the outlay of cash for inventory to the collection of cash from customers, combining the days sales outstanding (DSO), days inventory outstanding (DIO), and days payable outstanding (DPO).

Starting in September 2020, the CCC stood at approximately 96.04 days, indicating that it took just over three months for the company to complete its cash conversion cycle. Over the subsequent periods, there was notable fluctuation, with the cycle peaking at around 130.17 days by the end of 2020. This increase suggests a period where the company experienced delays or inefficiencies in converting its operations into cash, potentially attributable to extended receivables, inventory build-up, or slower collections.

During 2021, the CCC demonstrated a downward trend, decreasing to approximately 105.99 days in September 2021 and further to 103.66 days by year's end. This reduction indicates an improvement in operational efficiencies, with the company accelerating its cash collection and inventory turnover processes.

In 2022, the CCC continued to decrease, reaching a low point of approximately 87.82 days by March, before slightly rising again to 92.88 days by June. The full year saw the cycle stabilize near 88.60 days in December, reflecting a relatively stable period of operational efficiency.

Moving into 2023, the CCC experienced minor fluctuations, with values close to 87.87 days in March and rising modestly to 96.88 days by September. These variations suggest slight shifts in working capital management or changes in customer payment terms. The quarter ending December 2023 indicated a slight decrease to approximately 92.68 days, maintaining a level comparable to the previous periods.

In the first half of 2024, the CCC remained relatively stable, averaging around 90 days, with a slight increase to 95.21 days in September. The subsequent quarters show a similar consistency, with values close to 94 to 95 days, indicating maintained efficiencies with minor fluctuations.

The projections into 2025 continue within a narrow range, with values around 92 to 93 days. This consistency suggests the company's cash conversion cycle has stabilized in recent periods, reflecting a steady management of receivables, inventories, and payables.

Overall, the trend from 2020 onward indicates initial volatility with a peak in late 2020, followed by a period of stabilization and slight cyclical fluctuations in the ensuing years. The general level of the CCC has hovered around 88-96 days, demonstrating a relatively steady operational cycle with minor fluctuations, likely influenced by seasonal factors, strategic adjustments, or macroeconomic conditions impacting working capital management practices.