Protagonist Therapeutics Inc (PTGX)
Cash conversion cycle
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | 114.12 | 77.86 | 111.13 |
| Days of sales outstanding (DSO) | days | — | 52.65 | 70.92 | 50.65 | 23,196.06 |
| Number of days of payables | days | 8.41 | 41.86 | 21.47 | 60.22 | 64.66 |
| Cash conversion cycle | days | -8.41 | 10.79 | 163.56 | 68.30 | 23,242.53 |
December 31, 2023 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – 8.41
= -8.41
The cash conversion cycle of Protagonist Therapeutics Inc has shown significant fluctuations over the past five years. In 2023, the company's cash conversion cycle has improved to -8.41 days, indicating that the company is able to convert its inventory and accounts receivable into cash more quickly than in previous years. This negative value suggests that the company is able to collect cash from customers before paying its suppliers, resulting in an efficient cash conversion process.
In contrast, in 2021, the company experienced a prolonged cash conversion cycle of 163.56 days, indicating a significant delay in converting its investments in inventory and accounts receivable into cash. This prolonged cycle may have resulted in cash flow challenges and increased working capital requirements for the company during that period.
The data also reveals that in 2019, Protagonist Therapeutics Inc had an excessively high cash conversion cycle of over 23,000 days, which is likely a data anomaly. The drastic increase in the cash conversion cycle in 2019 may be attributed to unique circumstances or errors in reporting.
Overall, the trend in the cash conversion cycle of Protagonist Therapeutics Inc indicates fluctuations in the efficiency of the company's cash management and working capital practices over the years, with 2023 showing a marked improvement compared to previous years.
Peer comparison
Dec 31, 2023