Tootsie Roll Industries Inc (TR)
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 | — | 67.60 | 67.71 | 54.53 | 72.32 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 0.00 | 67.60 | 67.71 | 54.53 | 72.32 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
The cash conversion cycle for Tootsie Roll Industries Inc has shown fluctuations over the years based on the provided data.
- In December 31, 2020, the cash conversion cycle was 72.32 days, indicating that it took the company approximately 72 days to convert its resources invested in inventory into cash.
- By December 31, 2021, the cash conversion cycle improved to 54.53 days, showing a more efficient management of inventory and receivables in converting them into cash.
- However, in December 31, 2022, the cash conversion cycle increased to 67.71 days, suggesting a slower conversion of resources into cash compared to the previous year.
- The trend continued in December 31, 2023, with a similar cash conversion cycle of 67.60 days, indicating consistent challenges in efficiently managing the conversion process.
- Unexpectedly, by December 31, 2024, the cash conversion cycle dropped to 0.00 days. This could point towards a potential anomaly in the data or a significant improvement in operational efficiency that led to an instantaneous conversion of resources into cash.
Overall, the cash conversion cycle of Tootsie Roll Industries Inc has shown variability, with some periods demonstrating better efficiency in managing working capital and converting it into cash than others. The company should continue to monitor and optimize its cash conversion cycle to ensure effective management of liquidity and operating efficiency.
Peer comparison
Dec 31, 2024