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Anheuser-Busch InBev/NV (Anheuser-Busch InBev/NV) Cash Conversion Cycle : -140.17 (As of Dec. 2023)


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What is Anheuser-Busch InBev/NV Cash Conversion Cycle?

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

Anheuser-Busch InBev/NV's Days Sales Outstanding for the three months ended in Dec. 2023 was 27.41.
Anheuser-Busch InBev/NV's Days Inventory for the three months ended in Dec. 2023 was 74.64.
Anheuser-Busch InBev/NV's Days Payable for the three months ended in Dec. 2023 was 242.22.
Therefore, Anheuser-Busch InBev/NV's Cash Conversion Cycle (CCC) for the three months ended in Dec. 2023 was -140.17.


Anheuser-Busch InBev/NV Cash Conversion Cycle Historical Data

The historical data trend for Anheuser-Busch InBev/NV'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.

Anheuser-Busch InBev/NV Cash Conversion Cycle Chart

Anheuser-Busch InBev/NV Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only -176.24 -185.82 -167.21 -148.17 -137.53

Anheuser-Busch InBev/NV Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cash Conversion Cycle Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -142.63 -145.57 -174.72 -171.08 -140.17

Competitive Comparison of Anheuser-Busch InBev/NV's Cash Conversion Cycle

For the Beverages - Brewers subindustry, Anheuser-Busch InBev/NV'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.


Anheuser-Busch InBev/NV's Cash Conversion Cycle Distribution in the Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Anheuser-Busch InBev/NV's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Anheuser-Busch InBev/NV's Cash Conversion Cycle falls into.



Anheuser-Busch InBev/NV 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.

Anheuser-Busch InBev/NV'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
=24.54+79.86-241.93
=-137.53

Anheuser-Busch InBev/NV'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
=27.41+74.64-242.22
=-140.17

* 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.


Anheuser-Busch InBev/NV  (NYSE:BUD) 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.


Anheuser-Busch InBev/NV Cash Conversion Cycle Related Terms

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Anheuser-Busch InBev/NV (Anheuser-Busch InBev/NV) Business Description

Address
Brouwerijplein 1, Leuven, BEL, 3000
Anheuser-Busch InBev is the largest brewer in the world and one of the world's top five consumer product companies, as measured by EBITDA. The company's portfolio contains six of the top 10 beer brands by volume, according to Euromonitor, and we estimate it distributes 23 brands with retail sales over $1 billion. AB InBev was created by the 2008 merger of Belgium-based InBev and U.S.-based Anheuser-Busch. The firm holds a 62% economic interest in Ambev and in 2016 it acquired SABMiller.

Anheuser-Busch InBev/NV (Anheuser-Busch InBev/NV) Headlines