John Wiley & Sons (WLY)
Cash conversion cycle
| Apr 30, 2025 | Apr 30, 2024 | Apr 30, 2023 | Apr 30, 2022 | Apr 30, 2021 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 17.28 | 16.51 | 16.20 | 19.06 | 24.83 |
| Days of sales outstanding (DSO) | days | 49.70 | 43.69 | 56.04 | 58.17 | 58.58 |
| Number of days of payables | days | 46.04 | 35.04 | 44.44 | 40.34 | 55.91 |
| Cash conversion cycle | days | 20.94 | 25.15 | 27.79 | 36.89 | 27.49 |
April 30, 2025 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 17.28 + 49.70 – 46.04
= 20.94
The cash conversion cycle (CCC) of John Wiley & Sons has exhibited notable fluctuations over the analyzed period from April 30, 2021, to April 30, 2025.
In the fiscal year ending April 30, 2021, the CCC was approximately 27.49 days, indicating that, on average, the company took just over 27 days to convert its investments in inventory and receivables into cash, after accounting for the period of its accounts payable. This metric reflects the efficiency of the company's working capital management during that period.
In the subsequent fiscal year ending April 30, 2022, the CCC increased to approximately 36.89 days, representing a lengthening of around 9.4 days. This suggests that the company experienced a slower cash conversion process, potentially due to extended receivables, increased inventory holding periods, or delayed payable settlements, which could impact liquidity and operational efficiency.
By the fiscal year ending April 30, 2023, the CCC decreased sharply to approximately 27.79 days, reverting closer to the 2021 levels. This reduction indicates an improvement in working capital management, with the company converting its investments into cash more efficiently than in the previous year.
In the period ending April 30, 2024, the CCC further declined to roughly 25.15 days, marking a continued enhancement in operational efficiency. The shorter cycle suggests better management of inventory, receivables, or payables, leading to quicker cash recoveries and improved liquidity position.
The most recent data for the fiscal year ending April 30, 2025, reports a CCC of 0.00 days. This exceptional figure implies that, during this period, the company either achieved an extremely rapid cash conversion cycle or, possibly, a reporting anomaly or data inconsistency. Given the typical structure of the CCC, a zero-day cycle is unusual and warrants further investigation, but it could theoretically indicate that the firm was able to convert its working capital into cash instantly, possibly through immediate collections or extraordinary operational conditions.
Overall, the trend observed shows a period of cyclical variation with a peak around April 2022, followed by a consistent improvement in the company's cash conversion cycle in subsequent years. The recent figures suggest enhanced efficiency in managing working capital components, culminating in an extraordinarily short or potentially zero-day cycle in the latest period.
Peer comparison
Apr 30, 2025