Merck's Days Sales Outstanding for the
three
months ended in Jun. 2023 was 65.08.
Merck's Days Inventory for the
three
months ended in Jun. 2023 was 133.71.
Merck's Days Payable for the
three
months ended in Jun. 2023 was 80.75.
Therefore, Merck's Cash Conversion Cycle (CCC) for the
three
months ended in Jun. 2023 was 118.04.
Merck Cash Conversion Cycle Historical Data
The historical data trend for Merck'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.
Merck Annual Data
Trend
Dec13
Dec14
Dec15
Dec16
Dec17
Dec18
Dec19
Dec20
Dec21
Dec22
Cash Conversion Cycle
115.78
130.86
106.16
94.52
88.86
Merck Quarterly Data
Sep18
Dec18
Mar19
Jun19
Sep19
Dec19
Mar20
Jun20
Sep20
Dec20
Mar21
Jun21
Sep21
Dec21
Mar22
Jun22
Sep22
Dec22
Mar23
Jun23
Cash Conversion Cycle
105.38
108.15
108.19
107.07
118.04
Competitive Comparison
For the Drug Manufacturers - General subindustry, Merck'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.
Merck Cash Conversion Cycle Distribution
For the Drug Manufacturers industry and Healthcare sector, Merck's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where Merck's Cash Conversion Cycle falls into.
Merck 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.
Merck's Cash Conversion Cycle for the fiscal year that ended in Dec. 2022 is calculated as
* 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.
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.
Merck Cash Conversion Cycle Related Terms
Thank you for viewing the detailed overview of Merck's Cash Conversion Cycle provided by GuruFocus.com. Please click on the following links to see related term pages.
Merck makes pharmaceutical products to treat several conditions in a number of therapeutic areas, including cardiometabolic disease, cancer, and infections. Within cancer, the firm's immuno-oncology platform is growing as a major contributor to overall sales. The company also has a substantial vaccine business, with treatments to prevent pediatric diseases as well as human papillomavirus, or HPV. Additionally, Merck sells animal health-related drugs. From a geographical perspective, just under half of the company's sales are generated in the United States.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
0.4(0.39%) Volume: 5,872,929 4:00PM EDT
Email Alerts
Stock PDF
RSS
Website
Filings
Download
Manual of Stocks™ Web APP
MRK has been successfully added to your 
