Rogers Corporation (ROG)
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 | 93.92 | 93.18 | 102.40 | 83.40 | 73.15 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 93.92 | 93.18 | 102.40 | 83.40 | 73.15 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 93.92 + — – —
= 93.92
The cash conversion cycle of Rogers Corporation has shown fluctuations over the past five years. In December 2020, the cash conversion cycle was at 73.15 days, reflecting a relatively efficient conversion of inventory and receivables into cash. However, by December 2022, the cash conversion cycle had increased significantly to 102.40 days, indicating a longer period of time for the company to convert its investments in inventory and receivables into cash.
In the following years, there was a slight improvement in the cash conversion cycle, with values of 93.18 days in December 2023 and 93.92 days in December 2024. Although there was some stabilization, the cycle remained elevated compared to the initial period.
Overall, the trend in the cash conversion cycle suggests that Rogers Corporation may have experienced challenges in managing its working capital efficiently, leading to longer periods of cash tied up in inventory and receivables. It is important for the company to focus on optimizing its processes to shorten the cash conversion cycle and improve its liquidity and overall financial performance.
Peer comparison
Dec 31, 2024