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ARRIS International (ARRIS International) Cash Conversion Cycle : 27.31 (As of Dec. 2018)


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What is ARRIS International Cash Conversion Cycle?

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

ARRIS International's Days Sales Outstanding for the three months ended in Dec. 2018 was 59.83.
ARRIS International's Days Inventory for the three months ended in Dec. 2018 was 50.84.
ARRIS International's Days Payable for the three months ended in Dec. 2018 was 83.36.
Therefore, ARRIS International's Cash Conversion Cycle (CCC) for the three months ended in Dec. 2018 was 27.31.


ARRIS International Cash Conversion Cycle Historical Data

The historical data trend for ARRIS 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.

ARRIS International Cash Conversion Cycle Chart

ARRIS International Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.28 37.18 31.99 38.71 30.96

ARRIS International Quarterly Data
Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18
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 27.68 41.90 39.93 36.42 27.31

Competitive Comparison of ARRIS International's Cash Conversion Cycle

For the Communication Equipment subindustry, ARRIS 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.


ARRIS International's Cash Conversion Cycle Distribution in the Hardware Industry

For the Hardware industry and Technology sector, ARRIS International's Cash Conversion Cycle distribution charts can be found below:

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



ARRIS 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.

ARRIS International's Cash Conversion Cycle for the fiscal year that ended in Dec. 2018 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=66.15+59.22-94.41
=30.96

ARRIS International's Cash Conversion Cycle for the quarter that ended in Dec. 2018 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=59.83+50.84-83.36
=27.31

* 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.


ARRIS International  (NAS:ARRS) 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.


ARRIS International Cash Conversion Cycle Related Terms

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ARRIS International (ARRIS International) Business Description

Traded in Other Exchanges
N/A
Address
3871 Lakefield Drive, Suwanee, GA, USA, 30024
ARRIS International PLC is a media entertainment and data communications solutions provider. Its innovations combine hardware, software, and services across the cloud, network, and home to power TV and Internet for millions of people around the globe. It operates in two business segments, Customer Premises Equipment, and Network & Cloud. It specializes in enabling multichannel video programming distribution including cable, telephone, and digital broadcast satellite operatorion. It operates manufacturing facilities in Taipei, Taiwan; Tijuana, Mexico, and Manaus, Brazil.