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Alliance Fiber Optic Products (Alliance Fiber Optic Products) Cash Conversion Cycle : 128.31 (As of Mar. 2016)


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What is Alliance Fiber Optic Products Cash Conversion Cycle?

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

Alliance Fiber Optic Products's Days Sales Outstanding for the three months ended in Mar. 2016 was 78.7.
Alliance Fiber Optic Products's Days Inventory for the three months ended in Mar. 2016 was 118.56.
Alliance Fiber Optic Products's Days Payable for the three months ended in Mar. 2016 was 68.95.
Therefore, Alliance Fiber Optic Products's Cash Conversion Cycle (CCC) for the three months ended in Mar. 2016 was 128.31.


Alliance Fiber Optic Products Cash Conversion Cycle Historical Data

The historical data trend for Alliance Fiber Optic Products'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.

Alliance Fiber Optic Products Cash Conversion Cycle Chart

Alliance Fiber Optic Products Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 96.08 78.07 44.39 44.11 71.17

Alliance Fiber Optic Products Quarterly Data
Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16
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 52.57 44.54 66.49 101.67 128.31

Competitive Comparison of Alliance Fiber Optic Products's Cash Conversion Cycle

For the Electronic Components subindustry, Alliance Fiber Optic Products'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.


Alliance Fiber Optic Products's Cash Conversion Cycle Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Alliance Fiber Optic Products's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Alliance Fiber Optic Products's Cash Conversion Cycle falls into.



Alliance Fiber Optic Products 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.

Alliance Fiber Optic Products's Cash Conversion Cycle for the fiscal year that ended in Dec. 2015 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=52.49+76.65-57.97
=71.17

Alliance Fiber Optic Products's Cash Conversion Cycle for the quarter that ended in Mar. 2016 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=78.7+118.56-68.95
=128.31

* 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.


Alliance Fiber Optic Products  (NAS:AFOP) 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.


Alliance Fiber Optic Products Cash Conversion Cycle Related Terms

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Alliance Fiber Optic Products (Alliance Fiber Optic Products) Business Description

Traded in Other Exchanges
N/A
Address
Alliance Fiber Optic Products Inc was incorporated in California on December 12, 1995. The Company designs, manufactures and markets fiber optic components and integrated modules incorporating these components, for communications equipment manufacturers and service providers. The Company products including interconnect devices that are used to connect optical fibers and components, couplers and splitters that are used to divide and combine optical power, and dense wavelength division multiplexing, or DWDM, devices that separate and combine multiple specific wavelengths. Its lines of optical products support the needs of current and next generation optical network systems applications. Its connectivity product family provides a comprehensive line of optical interconnect devices, couplers and splitters, PLC (planar lightwave circuits) and related optical products, as well as customized integrated modules incorporating these devices. Its optical passive products include WDM, CWDM and DWDM components and modules that utilize thin film filter technologies to separate optical signals, variable attenuators, optical switches and other optical devices utilizing micro optic lensing technology including integrated electro-optical modules incorporating these products. It sells its products to communications equipment manufacturers in the United States and also maintain a sales support staff in Taiwan to service customers based in the Asia Pacific region. The Companys main competitors in the components market include JDS Uniphase Corp., Oclaro Inc., Oplink Communications, Inc., Senko Advanced Components and TE Connectivity.
Executives
Hon Hai Precision Ind. Co., Ltd. 10 percent owner NO. 2 ZIYOU ST. TUCHENG DISTRICT, NEW TAIPEI F4 23678
Richard B Black director

Alliance Fiber Optic Products (Alliance Fiber Optic Products) Headlines