SunCoke Energy Inc (SXC)
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 | 41.16 | 38.65 | 39.85 | 41.43 | 44.08 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 41.16 | 38.65 | 39.85 | 41.43 | 44.08 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 41.16 + — – —
= 41.16
The cash conversion cycle of SunCoke Energy Inc has shown a consistent improvement over the past five years. In December 2020, the company had a cash conversion cycle of 44.08 days, which decreased to 41.43 days by December 2021. This trend continued with further reductions to 39.85 days by December 2022 and 38.65 days by December 2023, indicating the company's enhanced efficiency in managing its cash flows.
However, there was a slight increase in the cash conversion cycle to 41.16 days by December 2024. This could be attributed to various factors such as changes in the company's operations, supply chain management, or working capital management.
Overall, the decreasing trend in the cash conversion cycle up to December 2023 suggests that SunCoke Energy Inc has been successful in optimizing its cash conversion process and efficiently converting its investments in inventory and receivables into cash inflows. The slight increase in 2024 may require further investigation to determine the underlying reasons and potential areas for improvement.
Peer comparison
Dec 31, 2024