TG Therapeutics Inc (TGTX)
Cash conversion cycle
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 174.33 | 182.77 | 194.48 | 108.50 | 104.08 | 115.38 | 128.09 | — | — | — | 12.24 | — | — | — | 21.77 | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | 161.00 | 89.60 | 84.63 | 83.87 | 79.34 | 338.10 | 497.14 | — | — | 4.61 | 41.66 | 75.79 | 114.65 | 140.77 | 310.27 | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Cash conversion cycle | days | 335.34 | 272.38 | 279.11 | 192.38 | 183.42 | 453.48 | 625.23 | 0.00 | 0.00 | 4.61 | 53.90 | 75.79 | 114.65 | 140.77 | 332.04 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
September 30, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 174.33 + 161.00 – —
= 335.34
The cash conversion cycle of TG Therapeutics Inc has shown varying trends over the recent quarters. It is a measure of how long a company is able to convert its investments in inventory and other resources into cash flows from sales.
In September 2024, the cash conversion cycle stood at 335.34 days, indicating an increase from the previous quarter but still high. This suggests that the company is taking longer to convert its resources into cash, potentially indicating inefficiencies in managing its working capital.
In June 2024, the cycle was 272.38 days, showing an improvement from the prior quarter. However, the cycle has been fluctuating over the past quarters, as seen in the significant increase in March 2023 to 625.23 days, which may imply challenges in managing inventory, accounts receivable, and payables effectively.
The cash conversion cycle dropped to 0.00 days in December 2022 and remained at 0.00 days in subsequent quarters. This could indicate a significant improvement in the company's efficiency in turning its investments into cash during that period.
Overall, TG Therapeutics Inc should focus on optimizing its cash conversion cycle by streamlining its processes, improving inventory management, and efficiently managing its accounts receivable and payables to enhance its liquidity position and operational efficiency.
Peer comparison
Sep 30, 2024