ViaSat Inc (VSAT)
Cash conversion cycle
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 35.41 | 39.98 | 53.43 | 64.32 | 78.56 |
| Days of sales outstanding (DSO) | days | 43.57 | 80.07 | 59.96 | 40.87 | 38.61 |
| Number of days of payables | days | 31.84 | 36.12 | 54.02 | 37.75 | 33.86 |
| Cash conversion cycle | days | 47.14 | 83.93 | 59.37 | 67.44 | 83.30 |
March 31, 2025 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 35.41 + 43.57 – 31.84
= 47.14
The cash conversion cycle for ViaSat Inc has shown fluctuation over the years. As of March 31, 2021, the company's cash conversion cycle was 83.30 days, indicating that it took an average of 83.30 days for ViaSat to convert its investments in inventory and other resources into cash flows from sales.
Over the following years, there was a notable improvement in the efficiency of ViaSat's cash conversion cycle. By March 31, 2025, the cash conversion cycle had decreased to 47.14 days, suggesting that the company was able to manage its working capital more effectively and convert its assets into cash at a faster rate.
It is worth noting that the cash conversion cycle increased in March 31, 2024, reaching 83.93 days, which could indicate potential challenges in managing inventory or collecting receivables during that period.
Overall, the decreasing trend in the cash conversion cycle from 2021 to 2025 is a positive sign for ViaSat Inc, indicating improved efficiency in managing its operating cycle and working capital, ultimately leading to better cash flow management.
Peer comparison
Mar 31, 2025