ViaSat Inc (VSAT)
Cash conversion cycle
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 58.27 | 66.32 | 68.67 | 141.57 | 121.87 | 126.59 | 117.38 | 178.78 | 101.36 | 194.34 | 202.77 | 214.23 | 219.23 | 221.91 | 217.72 | 203.21 | 191.06 | 191.18 | 190.73 | 192.62 |
| Days of sales outstanding (DSO) | days | 91.31 | 101.49 | 108.01 | 61.14 | 50.25 | 97.96 | 80.85 | 65.13 | 47.94 | 50.19 | 54.05 | 56.79 | 39.47 | 33.68 | 41.24 | 43.93 | 53.76 | 52.07 | 49.25 | 52.78 |
| Number of days of payables | days | 52.65 | 59.01 | 77.21 | 159.32 | 123.22 | 145.63 | 117.69 | 121.74 | 102.79 | 137.98 | 112.49 | 125.10 | 94.51 | 81.06 | 110.69 | 114.35 | 119.15 | 102.84 | 100.31 | 106.26 |
| Cash conversion cycle | days | 96.94 | 108.79 | 99.47 | 43.39 | 48.90 | 78.93 | 80.54 | 122.17 | 46.51 | 106.55 | 144.33 | 145.92 | 164.19 | 174.53 | 148.27 | 132.79 | 125.67 | 140.41 | 139.68 | 139.14 |
March 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 58.27 + 91.31 – 52.65
= 96.94
The cash conversion cycle of ViaSat Inc has fluctuated over the past few quarters, indicating varying efficiency in managing its working capital. The trend shows that the company's cash conversion cycle hit its lowest point at 43.39 days in the second quarter of the 2023 fiscal year, indicating a relatively quick conversion of inventory to cash during that period.
However, there was a significant increase in the cash conversion cycle to 174.53 days by the end of the 2021 fiscal year, suggesting a lengthening period between the company's outflows for inventory and inflows from sales. This indicates potential challenges in managing cash flow and converting inventory into revenue efficiently during that period.
In the most recent quarter, the cash conversion cycle decreased to 96.94 days, which could suggest an improvement in working capital management compared to the previous quarter. This shows that the company may have taken steps to streamline its operations and improve the efficiency of its cash conversion cycle.
Overall, close monitoring and management of the cash conversion cycle are essential for ViaSat Inc to ensure optimal utilization of its working capital and maintain a healthy financial position.
Peer comparison
Mar 31, 2024