RB Global Inc. (RBA)
Cash conversion cycle
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 19.45 | 31.97 | 48.43 | 62.90 | 51.16 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 19.45 | 31.97 | 48.43 | 62.90 | 51.16 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 19.45 + — – —
= 19.45
RB Global Inc.'s cash conversion cycle has shown fluctuations over the past five years. In 2020, the company had a cash conversion cycle of 51.16 days, which increased to 62.90 days in 2021. However, there was a significant improvement in 2022, with the cycle decreasing to 48.43 days. The trend continued positively in 2023, with a further reduction to 31.97 days. Finally, in 2024, the cash conversion cycle decreased to 19.45 days, indicating that RB Global Inc. has been managing its working capital efficiently and collecting cash quickly from its receivables while optimizing its inventory turnover. This downward trend in the cash conversion cycle suggests that the company is becoming more efficient in managing its cash flow and working capital, which is a positive sign for its financial health.
Peer comparison
Dec 31, 2024