Molson Coors Brewing Co Class B (TAP)
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 | 37.45 | 39.93 | 41.08 | 47.17 | 41.20 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 37.45 | 39.93 | 41.08 | 47.17 | 41.20 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 37.45 + — – —
= 37.45
The cash conversion cycle of Molson Coors Brewing Co Class B has shown variations over the past five years. In 2020, the company's cash conversion cycle was 41.20 days, indicating the number of days it takes for the company to convert its investments in inventory and other resources into cash flows from sales.
By the end of 2021, the cash conversion cycle had increased to 47.17 days, suggesting a longer period for the company to recover cash from its operational activities. However, there was a slight improvement in efficiency by the end of 2022, with the cycle reducing to 41.08 days.
In 2023 and 2024, Molson Coors Brewing Co Class B continued to optimize its cash conversion cycle further, reaching 39.93 days and 37.45 days, respectively. A decreasing trend in the cash conversion cycle is generally positive as it indicates the company is managing its working capital more effectively and generating cash flows more efficiently from its operations.
Overall, the declining trend in the cash conversion cycle of Molson Coors Brewing Co Class B over the past five years reflects improvements in the company's working capital management, which is essential for sustaining and enhancing its financial health.
Peer comparison
Dec 31, 2024