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Paymentus Holdings (Paymentus Holdings) Cash Conversion Cycle : 14.71 (As of Dec. 2023)


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What is Paymentus Holdings Cash Conversion Cycle?

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

Paymentus Holdings's Days Sales Outstanding for the three months ended in Dec. 2023 was 41.87.
Paymentus Holdings's Days Inventory for the three months ended in Dec. 2023 was 0.
Paymentus Holdings's Days Payable for the three months ended in Dec. 2023 was 27.16.
Therefore, Paymentus Holdings's Cash Conversion Cycle (CCC) for the three months ended in Dec. 2023 was 14.71.


Paymentus Holdings Cash Conversion Cycle Historical Data

The historical data trend for Paymentus 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.

* Premium members only.

Paymentus Holdings Cash Conversion Cycle Chart

Paymentus Holdings Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
Cash Conversion Cycle
25.20 12.14 5.53 12.67 15.62

Paymentus Holdings Quarterly Data
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 16.68 18.30 16.04 14.84 14.71

Competitive Comparison of Paymentus Holdings's Cash Conversion Cycle

For the Software - Infrastructure subindustry, Paymentus 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.


Paymentus Holdings's Cash Conversion Cycle Distribution in the Software Industry

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

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



Paymentus 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.

Paymentus 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
=42.82+0-27.2
=15.62

Paymentus 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
=41.87+0-27.16
=14.71

* 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.


Paymentus Holdings  (NYSE:PAY) 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.


Paymentus Holdings Cash Conversion Cycle Related Terms

Thank you for viewing the detailed overview of Paymentus Holdings's Cash Conversion Cycle provided by GuruFocus.com. Please click on the following links to see related term pages.


Paymentus Holdings (Paymentus Holdings) Business Description

Traded in Other Exchanges
N/A
Address
11605 N. Community House Road, Suite 300, Charlotte, NC, USA, 28277
Paymentus Holdings Inc provides electronic bill presentment and payment services, enterprise customer communication and self-service revenue management to billers and financial institutions through a Software-as-a-Service, (SaaS), secure, omni-channel technology platform. The platform integrates into a biller's core financial and operating systems to provide flexible and secure access to payment processing of credit cards, debit cards, eChecks and digital wallets across a number of channels including online, mobile, IVR, call center, chatbot and voice-based assistants. The Company generates revenue from payment transaction fees processed through the Company's platform. The fees are generated as a percentage of transaction value or a specified fee per transaction.
Executives
Andrew A. Gerber officer: General Counsel and Secretary 18390 NE 68TH ST., REDMOND WA 98052
Gerasimos (jerry) Portocalis officer: Chief Commercial Officer 18390 NE 68TH ST., REDMOND WA 98052
Arun Oberoi director 100 EAST DAVIE STREET, RALEIGH NC 27601
Sanjay Kalra officer: SVP and CFO HARMONIC INC., 4300 NORTH FIRST STREET, SAN JOSE CA 95134
Paul E. Seamon officer: Interim CFO 18390 NE 68TH ST, REDMOND WA 98052
Matt Parson officer: Chief Financial Officer 18390 NE 68TH ST., REDMOND WA 98052
Gary Trainor director 18390 NE 68TH ST., REDMOND WA 98052
Jody R Davids director C/O PREMIER INC., 13034 BALLANTYNE CORPORATE PLACE, CHARLOTTE NC 28277
Dushyant Sharma director, 10 percent owner, officer: Chairman, President and CEO 18390 NE 68TH ST., REDMOND WA 98052
William Ingram director C/O LEAP WIRELESS INTERNATIONAL, INC., 5887 COPLEY DRIVE, SAN DIEGO CA 92111
Accel-kkr Growth Capital Partners Ii, Lp 10 percent owner 2500 SAND HILL ROAD, SUITE 300, MENLO PARK CA 94025
Accel-kkr Growth Capital Partners Ii Strategic Fund, Lp 10 percent owner 2500 SAND HILL ROAD, SUITE 300, MENLO PARK CA 94025
John C Morrow officer: General Counsel and Secretary 11100 NE 8TH ST #600, BELLEVUE WA 98004
Accel-kkr Growth Capital Partners Iii, Lp 10 percent owner 2500 SAND HILL ROAD, SUITE 300, MENLO PARK CA 94025
Accel-kkr Capital Partners Cv Iii, Lp 10 percent owner 2500 SAND HILL ROAD, SUITE 300, MENLO PARK CA 94025