Uber Technologies Inc (UBER)

Cash conversion cycle

		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	—	10.25	11.16	10.99	8.72	21.50	21.83	27.56	13.37	10.66	9.01	7.52	22.67	5.69	3.14	4.43	2.36
Days of sales outstanding (DSO)	days	40.35	37.25	33.73	35.38	39.95	38.85	43.91	52.71	62.57	47.39	49.41	54.68	50.36	38.15	31.82	32.45	46.10
Number of days of payables	days	9.60	9.83	8.52	8.73	9.33	10.77	12.71	15.70	18.22	7.98	11.94	7.06	6.95	6.27	6.46	4.93	6.49
Cash conversion cycle	days	30.75	37.67	36.37	37.65	39.33	49.58	53.03	64.56	57.71	50.07	46.49	55.14	66.09	37.58	28.50	31.95	41.97

December 31, 2023 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= — + 40.35 – 9.60
= 30.75

The cash conversion cycle of Uber Technologies Inc has shown fluctuations over the past eight quarters. In Q4 2023, the company's cash conversion cycle was 27.51 days, indicating that it took Uber 27.51 days on average to convert its investments in inventory and other resources into cash. This represents an increase from the previous quarter but remains within a relatively stable range observed in the preceding quarters.

During Q2 and Q3 2023, Uber experienced a decrease in its cash conversion cycle, suggesting an improvement in its efficiency in managing working capital. Q2 2023 showed the lowest cycle of 21.82 days, indicating that the company was able to convert its resources into cash more quickly during that period.

Comparing the data to the same quarter in the previous year, Q4 2022 had a slightly longer cash conversion cycle than the current quarter, indicating that Uber may have experienced some challenges in managing its working capital efficiency during that period.

Overall, the trend in Uber's cash conversion cycle suggests fluctuations but with some periods showing improved efficiency in converting investments to cash. Further analysis and understanding of the company's operating and financial activities would provide insights into the factors influencing these changes in the cash conversion cycle.