Vir Biotechnology Inc (VIR)

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 47.62
Days of sales outstanding (DSO) days
Number of days of payables days
Cash conversion cycle days 0.00 0.00 0.00 47.62 0.00

December 31, 2024 calculation

Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00

The cash conversion cycle for Vir Biotechnology Inc has shown significant fluctuations over the years. In 2020 and 2022, the company reported a cash conversion cycle of 0.00 days, indicating that it was able to efficiently convert its investments in inventory back into cash relatively quickly.

However, in 2021, there was a notable increase in the cash conversion cycle to 47.62 days. This spike suggests that Vir Biotechnology Inc took longer to convert its investments in inventory into cash during that period, possibly indicating delays in collecting receivables or managing inventory levels.

From 2023 onwards, the company returned to a cash conversion cycle of 0.00 days, signaling a more efficient cash management process similar to that of 2020 and 2022.

Overall, despite the temporary increase in 2021, Vir Biotechnology Inc has generally maintained a swift cash conversion cycle, which is crucial for ensuring liquidity and financial health in the biotechnology industry.