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ANDE (Andersons) Cash Conversion Cycle : 42.11 (As of Mar. 2025)


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What is Andersons Cash Conversion Cycle?

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

Andersons's Days Sales Outstanding for the three months ended in Mar. 2025 was 27.06.
Andersons's Days Inventory for the three months ended in Mar. 2025 was 46.16.
Andersons's Days Payable for the three months ended in Mar. 2025 was 31.11.
Therefore, Andersons's Cash Conversion Cycle (CCC) for the three months ended in Mar. 2025 was 42.11.


Andersons Cash Conversion Cycle Historical Data

The historical data trend for Andersons'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.

Andersons Cash Conversion Cycle Chart

Andersons Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 41.72 35.85 32.07 30.35 30.82

Andersons Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 33.03 31.40 29.65 27.70 42.11

Competitive Comparison of Andersons's Cash Conversion Cycle

For the Food Distribution subindustry, Andersons'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.


Andersons's Cash Conversion Cycle Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Andersons's Cash Conversion Cycle distribution charts can be found below:

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


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Andersons 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.

Andersons's Cash Conversion Cycle for the fiscal year that ended in Dec. 2024 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=24.76+42.39-36.33
=30.82

Andersons's Cash Conversion Cycle for the quarter that ended in Mar. 2025 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=27.06+46.16-31.11
=42.11

* 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.


Andersons  (NAS:ANDE) 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.


Andersons Cash Conversion Cycle Related Terms

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


Andersons Business Description

Traded in Other Exchanges
Address
1947 Briarfield Boulevard, PO Box 119, Maumee, OH, USA, 43537
Andersons Inc is a diversified company with its main focus in the agriculture sector. Its operations are segmented into Trade, Renewables, and Nutrient & Industrial. The Trade segment, which generates the majority of the revenue, is engaged in the movement of physical commodities such as whole grains, grain products, feed ingredients, and domestic fuel products, among other agricultural commodities. Geographically, the company generates the majority of its revenue from the United States and the rest from Canada, Mexico, Egypt, Switzerland, and other markets.
Executives
Joseph E Mcneely officer: President, Rail Group TWO NORTH RIVERSIDE PLAZA, SUITE 1300, CHICAGO IL 60606
Patrick E. Bowe director, officer: President & CEO P O BOX 119, MAUMEE OH 43537
Michael J Anderson director C/O INTERSTATE BAKERIES CORP, 12 EAST ARMOUR BLVD, KANSAS CITY MO 64111
Brian K. Walz officer: VP-Treasurer P.O. BOX 119, MAUMEE OH 43537
William E. Krueger officer: President, ATG Comm. & Merch. P.O. BOX 119, MAUMEE OH 43537
Sarah Zibbel officer: EVP & Chief HR Officer P.O. BOX 119, MAUMEE OH 43537
Anne G Rex officer: VP, Strategy, Planning and Dev PO BOX 119, MAUMEE OH 43537
Steven K. Campbell director P.O. BOX 119, MAUMEE OH 43537
Gary A. Douglas director P.O. BOX 119, MAUMEE OH 43537
King Robert J Jr director FIFTH THIRD BANCORP, 38 FOUNTAIN SQ PLZ, CINCINNATI OH 45263
Pamela S Hershberger director P.O. BOX 119, MAUMEE OH 43537
Patrick S. Mullin director 1500 KEY TOWER, 127 PUBLIC SQUARE, CLEVELAND OH 44114
Ross W Manire director 150 CARLTON AVENUE, GLEN ELLYN IL 20137
Gerard M Anderson director ONE ENERGY PLAZA, LEGAL DEPARTMENT, DETROIT MI 48226
Catherine M Kilbane director