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Tyco International (Tyco International) Cash Conversion Cycle : 57.68 (As of Jun. 2016)


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What is Tyco International Cash Conversion Cycle?

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

Tyco International's Days Sales Outstanding for the three months ended in Jun. 2016 was 65.71.
Tyco International's Days Inventory for the three months ended in Jun. 2016 was 39.44.
Tyco International's Days Payable for the three months ended in Jun. 2016 was 47.47.
Therefore, Tyco International's Cash Conversion Cycle (CCC) for the three months ended in Jun. 2016 was 57.68.


Tyco International Cash Conversion Cycle Historical Data

The historical data trend for Tyco International'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.

Tyco International Cash Conversion Cycle Chart

Tyco International Annual Data
Trend Sep06 Sep07 Sep08 Sep09 Sep10 Sep11 Sep12 Sep13 Sep14 Sep15
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 66.13 45.21 48.37 49.49 54.25

Tyco International Quarterly Data
Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16
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 59.40 58.53 57.95 59.03 57.68

Competitive Comparison of Tyco International's Cash Conversion Cycle

For the Security & Protection Services subindustry, Tyco International'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.


Tyco International's Cash Conversion Cycle Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Tyco International's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Tyco International's Cash Conversion Cycle falls into.



Tyco International 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.

Tyco International's Cash Conversion Cycle for the fiscal year that ended in Sep. 2015 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=64.67+36.44-46.86
=54.25

Tyco International's Cash Conversion Cycle for the quarter that ended in Jun. 2016 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=65.71+39.44-47.47
=57.68

* 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.


Tyco International  (NYSE:TYC) 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.


Tyco International Cash Conversion Cycle Related Terms

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


Tyco International (Tyco International) Business Description

Traded in Other Exchanges
N/A
Address
Unit 1202 Building 1000 City Gate, Mahon, Cork, IRL, 8212
Tyco International PLC is a global provider of security products and services, fire detection and suppression products and services, and life safety products. Brand names include Tyco, Tyco Integrated Security, SimplexGrinnell, Sensormatic, Wormald, Scott, and ADT (outside North American markets). The revenue breakdown is 37% North America installation and services, 38% rest of world installation and services, and 25% global products. Tyco completed its spin-off of ADT and the flow control business in September 2012, five years after its prior three-way split.

Tyco International (Tyco International) Headlines

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