Vicor Corporation (VICR)
Cash conversion cycle
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 142.29 | 142.95 | 145.52 | 146.86 | 136.06 | 127.56 | 128.13 | 127.62 | 121.42 | 118.05 | 111.36 | 104.11 | 98.00 | 95.38 | 85.74 | 83.56 | 91.52 | 97.17 | 95.90 | 94.94 |
| Days of sales outstanding (DSO) | days | 52.11 | 58.60 | 52.82 | 52.57 | 46.41 | 54.39 | 56.04 | 54.21 | 59.47 | 27.61 | 27.43 | 26.73 | 27.95 | 52.67 | 57.84 | 53.97 | 50.36 | 54.40 | 65.89 | 57.67 |
| Number of days of payables | days | 11.72 | 21.25 | 16.37 | 16.26 | 15.45 | 17.26 | 18.42 | 19.95 | 26.59 | 30.04 | 42.95 | 31.82 | 30.84 | 27.60 | 33.14 | 25.20 | 22.57 | 19.90 | 26.97 | 23.92 |
| Cash conversion cycle | days | 182.67 | 180.30 | 181.97 | 183.16 | 167.03 | 164.69 | 165.75 | 161.88 | 154.30 | 115.63 | 95.84 | 99.03 | 95.10 | 120.46 | 110.44 | 112.32 | 119.31 | 131.68 | 134.82 | 128.69 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 142.29 + 52.11 – 11.72
= 182.67
The cash conversion cycle of Vicor Corporation, which represents the time it takes for the company to convert its investments in inventory and other resources into cash flows from sales, has fluctuated over the past few years.
From March 31, 2020, to December 31, 2020, the cash conversion cycle decreased steadily from 128.69 days to 119.31 days, indicating an improvement in the company's efficiency in managing its working capital.
However, from March 31, 2021, to June 30, 2024, the cash conversion cycle showed significant volatility, ranging from 110.44 days to 183.16 days. This inconsistency may suggest challenges in inventory management, sales collection, or payment of liabilities during this period.
Notably, as of December 31, 2024, the cash conversion cycle stood at 182.67 days, reflecting a longer time frame for Vicor Corporation to convert its resources into cash compared to the beginning of the analyzed period.
Overall, Vicor Corporation should focus on optimizing its cash conversion cycle to enhance liquidity and operational efficiency by streamlining inventory management, sales processes, and payment cycles.
Peer comparison
Dec 31, 2024