Warner Bros Discovery Inc (WBD)
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 | — | 8.91 | — | 52.77 | 91.72 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
| Cash conversion cycle | days | 0.00 | 8.91 | 0.00 | 52.77 | 91.72 |
December 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= — + — – —
= 0.00
Warner Bros Discovery Inc's cash conversion cycle has exhibited significant fluctuations over the years, indicating varying efficiencies in managing its working capital.
As of December 31, 2020, the cash conversion cycle stood at 91.72 days, reflecting a prolonged period required to convert resources into cash. However, by December 31, 2021, the cycle had substantially improved to 52.77 days, suggesting enhanced operational efficiency.
The most notable trend occurred by December 31, 2022, when the cash conversion cycle dropped to 0.00 days, signaling that the company could convert its resources into cash almost instantaneously. This could imply optimized inventory and receivables management processes.
However, by December 31, 2023, the cycle increased slightly to 8.91 days, indicating a slight delay in the cash conversion process compared to the previous year. Notably, by December 31, 2024, the cycle had again reduced to 0.00 days, showcasing a similar efficiency to 2022.
Overall, the varying trends in Warner Bros Discovery Inc's cash conversion cycle reflect improvements and fluctuations in working capital management over the years, highlighting the company's focus on optimizing its cash flow operations.
Peer comparison
Dec 31, 2024