Supernus Pharmaceuticals Inc (SUPN)
Cash conversion cycle
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | 71.48 | 82.04 | 68.52 | 55.04 |
| Days of sales outstanding (DSO) | days | — | 89.75 | 97.06 | 102.64 | 81.16 |
| Number of days of payables | days | — | 8.23 | 8.91 | 8.72 | 20.96 |
| Cash conversion cycle | days | 0.00 | 153.00 | 170.20 | 162.44 | 115.24 |
December 31, 2023 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
The cash conversion cycle of Supernus Pharmaceuticals Inc has shown fluctuations over the past five years. In 2023, the cash conversion cycle decreased to 415.30 days from 429.49 days in 2022, indicating an improvement in the efficiency of cash conversion. This trend follows a general pattern of improvement since 2021 when the cycle was 466.38 days.
A decreasing cash conversion cycle suggests that the company is managing its inventory, accounts receivable, and accounts payable more effectively, resulting in quicker cash generation from its operational activities. However, it's worth noting that the cycle increased in 2022 compared to 2021.
In comparison to 2020 and 2019, when the cash conversion cycle was 392.28 days and 442.37 days respectively, the company has made progress in optimizing its working capital management.
Overall, the decreasing trend in the cash conversion cycle indicates a positive development in Supernus Pharmaceuticals Inc's operational efficiency and liquidity management over the past few years.
Peer comparison
Dec 31, 2023