Shenandoah Telecommunications Co (SHEN)
Cash conversion cycle
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | — | — | 33.84 | — | 100.88 | 114.57 | 76.78 | 101.23 | 159.03 | 82.68 | — | 49.73 | 4,350.02 | 3,185.53 | 2,306.00 | 1,970.65 | 4.67 | 9.82 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 0.00 | 0.00 | 0.00 | 0.00 | 33.84 | 0.00 | 100.88 | 114.57 | 76.78 | 101.23 | 159.03 | 82.68 | 0.00 | 49.73 | 4,350.02 | 3,185.53 | 2,306.00 | 1,970.65 | 4.67 | 9.82 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
Shenandoah Telecommunications Co's cash conversion cycle has varied significantly over the years based on the provided data. The cash conversion cycle is a metric that shows how quickly a company can convert its inventory and accounts receivable into cash. A shorter cash conversion cycle is generally considered more favorable as it indicates that the company is able to efficiently manage its working capital.
From March 31, 2020, to March 31, 2021, the cash conversion cycle showed a steady increase, peaking at 4,350.02 days on June 30, 2021, before decreasing significantly to 0.00 days by December 31, 2021. This drastic reduction could indicate improvements in inventory management and accounts receivable collection efficiency during that period.
Subsequently, the cash conversion cycle fluctuated between 0.00 days and 159.03 days until December 31, 2023, indicating some volatility in the company's working capital management. However, by the end of December 31, 2023, the cash conversion cycle had decreased to 33.84 days, suggesting a potential improvement in the company's liquidity position and operational effectiveness.
Overall, it is essential for Shenandoah Telecommunications Co to closely monitor its cash conversion cycle and strive for a lower and more stable cycle, as it can positively impact the company's cash flow and overall financial health.
Peer comparison
Dec 31, 2024