Protagonist Therapeutics Inc (PTGX)
Cash conversion cycle
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | — | — | — | — | — | — | 88.86 | 114.12 | — | — | — | 77.86 | 0.21 | 0.22 | 0.22 | 111.13 | 0.24 | 0.25 |
| Days of sales outstanding (DSO) | days | — | — | — | 148.37 | 18.96 | 52.65 | 6.43 | 26.97 | 221.77 | 71.09 | 67.64 | 132.54 | 68.31 | 48.85 | 47.25 | 94.78 | 213.43 | 633.45 | 195.47 | 229.15 |
| Number of days of payables | days | 32.17 | 8.41 | 14.25 | 53.31 | 49.20 | 41.86 | 53.17 | 15.75 | 82.31 | 21.47 | 10.34 | 127.87 | 49.79 | 60.22 | 57.51 | 61.75 | 81.64 | 64.66 | 38.12 | 70.13 |
| Cash conversion cycle | days | -32.17 | -8.41 | -14.25 | 95.06 | -30.25 | 10.79 | -46.75 | 11.22 | 228.32 | 163.74 | 57.31 | 4.68 | 18.52 | 66.50 | -10.06 | 33.25 | 132.01 | 679.92 | 157.59 | 159.27 |
March 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – 32.17
= -32.17
The cash conversion cycle measures how efficiently a company manages its cash flow by analyzing the time it takes for a company to convert its resources into cash. A negative cash conversion cycle is generally considered favorable as it indicates that a company is able to convert its inventory into cash quickly, thus improving liquidity and operating efficiency.
Looking at the historical trend of Protagonist Therapeutics Inc's cash conversion cycle, we can observe fluctuations in the efficiency of their cash conversion over time. In the most recent quarter ending March 31, 2024, the company achieved a significantly improved cash conversion cycle of -32.17 days, indicating a strong ability to convert its investments, inventory, and accounts receivable into cash efficiently. This was a positive trend from the previous quarter where the cash conversion cycle was less efficient at -8.41 days.
However, it's important to note that the company experienced challenges with cash conversion in the quarter ending March 31, 2022, where the cash conversion cycle was at its highest at 228.32 days. This prolonged cycle suggests that the company may have faced difficulties in managing its working capital effectively. The subsequent quarters showed improvements in cash conversion efficiency, albeit with some fluctuations.
Overall, Protagonist Therapeutics Inc has demonstrated varying levels of efficiency in managing its cash conversion cycle over the analyzed periods. Investors and stakeholders may monitor this metric closely to assess the company's operational efficiency and liquidity management practices.
Peer comparison
Mar 31, 2024