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Zapata Computing Holdings (Zapata Computing Holdings) Cash Conversion Cycle : -328.86 (As of Dec. 2023)


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What is Zapata Computing Holdings Cash Conversion Cycle?

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

Zapata Computing Holdings's Days Sales Outstanding for the six months ended in Dec. 2023 was 82.92.
Zapata Computing Holdings's Days Inventory for the six months ended in Dec. 2023 was 0.
Zapata Computing Holdings's Days Payable for the six months ended in Dec. 2023 was 411.78.
Therefore, Zapata Computing Holdings's Cash Conversion Cycle (CCC) for the six months ended in Dec. 2023 was -328.86.


Zapata Computing Holdings Cash Conversion Cycle Historical Data

The historical data trend for Zapata Computing Holdings'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.

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Zapata Computing Holdings Cash Conversion Cycle Chart

Zapata Computing Holdings Annual Data
Trend Dec21 Dec22 Dec23
Cash Conversion Cycle
281.94 -9.15 -224.69

Zapata Computing Holdings Semi-Annual Data
Dec21 Jun22 Dec22 Jun23 Dec23
Cash Conversion Cycle - 24.07 -29.85 -89.72 -328.86

Competitive Comparison of Zapata Computing Holdings's Cash Conversion Cycle

For the Software - Infrastructure subindustry, Zapata Computing Holdings'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.


Zapata Computing Holdings's Cash Conversion Cycle Distribution in the Software Industry

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

* The bar in red indicates where Zapata Computing Holdings's Cash Conversion Cycle falls into.



Zapata Computing Holdings 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.

Zapata Computing Holdings'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
=88.89+0-313.58
=-224.69

Zapata Computing Holdings'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
=82.92+0-411.78
=-328.86

* 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.


Zapata Computing Holdings  (NAS:ZPTA) 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.


Zapata Computing Holdings Cash Conversion Cycle Related Terms

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Zapata Computing Holdings (Zapata Computing Holdings) Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
100 Federal Street, Floor 20, Boston, MA, USA, 02110
Zapata Computing Holdings Inc is an Industrial Generative AI software company that develops generative AI applications and provides accompanying services to solve complex industrial problems. Its computational approaches leverage the statistical advantages of math based on quantum physics. Its primary target customers are enterprise organizations. It offers subscription-based solutions that combine software and services to develop custom Industrial Generative AI applications designed to resolve its enterprise customers' specific problems.

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