Titan International Inc (TWI)
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 | 100.48 | 87.92 | 80.16 | 92.89 | 93.62 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 100.48 | 87.92 | 80.16 | 92.89 | 93.62 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 100.48 + — – —
= 100.48
Titan International Inc's cash conversion cycle has shown variability over the past five years.
At the end of 2020, the cash conversion cycle was 93.62 days, indicating that it took the company approximately 93.62 days to convert its investments in inventory and accounts receivable into cash.
By the end of 2021, the cash conversion cycle had slightly improved to 92.89 days, suggesting a more efficient management of inventory and receivables.
In 2022, the cash conversion cycle decreased significantly to 80.16 days, reflecting a possible improvement in the company's working capital management practices.
However, in 2023, the cash conversion cycle increased to 87.92 days, indicating a slight slowdown in the company's ability to convert its working capital into cash.
By the end of 2024, the cash conversion cycle further increased to 100.48 days, signifying a potential lengthening in the time taken to convert investments in working capital into cash.
Overall, Titan International Inc's cash conversion cycle has shown fluctuations over the years, suggesting the need for continuous monitoring and potential improvements in the management of working capital to maintain liquidity and operational efficiency.
Peer comparison
Dec 31, 2024