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Soluciones Cuatroochenta (XMAD:480S) Cash Conversion Cycle : 53.41 (As of Dec. 2023)


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What is Soluciones Cuatroochenta Cash Conversion Cycle?

Cash Conversion Cycle is one of several measures of management effectiveness. It equals Days Sales Outstanding + Days Inventory - Days Payable.

Soluciones Cuatroochenta's Days Sales Outstanding for the six months ended in Dec. 2023 was 73.84.
Soluciones Cuatroochenta's Days Inventory for the six months ended in Dec. 2023 was 0.58.
Soluciones Cuatroochenta's Days Payable for the six months ended in Dec. 2023 was 21.01.
Therefore, Soluciones Cuatroochenta's Cash Conversion Cycle (CCC) for the six months ended in Dec. 2023 was 53.41.


Soluciones Cuatroochenta Cash Conversion Cycle Historical Data

The historical data trend for Soluciones Cuatroochenta's Cash Conversion Cycle can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Soluciones Cuatroochenta Cash Conversion Cycle Chart

Soluciones Cuatroochenta Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
Cash Conversion Cycle
94.54 84.35 -11.10 -1.27 51.85

Soluciones Cuatroochenta Semi-Annual Data
Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Cash Conversion Cycle Get a 7-Day Free Trial Premium Member Only 0.74 2.38 53.97 51.85 53.41

Competitive Comparison of Soluciones Cuatroochenta's Cash Conversion Cycle

For the Software - Application subindustry, Soluciones Cuatroochenta's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Soluciones Cuatroochenta's Cash Conversion Cycle Distribution in the Software Industry

For the Software industry and Technology sector, Soluciones Cuatroochenta's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Soluciones Cuatroochenta's Cash Conversion Cycle falls into.



Soluciones Cuatroochenta Cash Conversion Cycle Calculation

Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.

Cash Conversion Cycle is one of several measures of management effectiveness.

Soluciones Cuatroochenta's Cash Conversion Cycle for the fiscal year that ended in Dec. 2023 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=81.58+0.71-30.44
=51.85

Soluciones Cuatroochenta's Cash Conversion Cycle for the quarter that ended in Dec. 2023 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=73.84+0.58-21.01
=53.41

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Soluciones Cuatroochenta  (XMAD:480S) Cash Conversion Cycle Explanation

Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.


Be Aware

CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.

The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.


Soluciones Cuatroochenta Cash Conversion Cycle Related Terms

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Soluciones Cuatroochenta (XMAD:480S) Business Description

Traded in Other Exchanges
N/A
Address
Edificio Espaitec 2, Universitat Jaume I, Avenida de Vicent Sos Baynat s / n, Castellon, ESP, 12071
Soluciones Cuatroochenta SA is a technology company developing and implementing digital cloud solutions to meet the challenges and objectives of its clients located in Europe and Latin America. The company, which started as an app development company, has become a solvent technological partner undertaking digital transformations with the powerful management and cybersecurity solutions. This omnichannel service can be tailored to the needs of each organization in order to improve their performance. Its main business models are the development of ad hoc apps for third parties, its own products such as Sefici (process optimization with app and web technology) and 480interactive (software to create apps without programming knowledge), revenue agreements share and participated projects.

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