Sotera Health Co (SHC)
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 | 36.02 | 40.19 | 30.35 | 48.00 | 33.22 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 36.02 | 40.19 | 30.35 | 48.00 | 33.22 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 36.02 + — – —
= 36.02
The cash conversion cycle of Sotera Health Co has shown fluctuations over the past five years. Starting at 33.22 days on December 31, 2020, it increased to 48.00 days by December 31, 2021. Subsequently, there was a significant improvement as it decreased to 30.35 days by December 31, 2022. However, the cycle increased again to 40.19 days by December 31, 2023, before slightly decreasing to 36.02 days by December 31, 2024.
Overall, the trend indicates some variability in the efficiency of Sotera Health Co in managing its cash conversion cycle. It is essential for the company to closely monitor and manage this cycle to ensure optimal utilization of resources and maintain healthy cash flows.
Peer comparison
Dec 31, 2024