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National Fertilizers (BOM:523630) Cash Conversion Cycle : 27.36 (As of Dec. 2024)


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What is National Fertilizers Cash Conversion Cycle?

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

National Fertilizers's Days Sales Outstanding for the three months ended in Dec. 2024 was 37.56.
National Fertilizers's Days Inventory for the three months ended in Dec. 2024 was 17.7.
National Fertilizers's Days Payable for the three months ended in Dec. 2024 was 27.9.
Therefore, National Fertilizers's Cash Conversion Cycle (CCC) for the three months ended in Dec. 2024 was 27.36.


National Fertilizers Cash Conversion Cycle Historical Data

The historical data trend for National Fertilizers'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.

National Fertilizers Cash Conversion Cycle Chart

National Fertilizers Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 604.99 406.50 187.97 180.25 211.54

National Fertilizers Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 9.87 6.55 78.75 36.43 27.36

Competitive Comparison of National Fertilizers's Cash Conversion Cycle

For the Agricultural Inputs subindustry, National Fertilizers'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.


National Fertilizers's Cash Conversion Cycle Distribution in the Agriculture Industry

For the Agriculture industry and Basic Materials sector, National Fertilizers's Cash Conversion Cycle distribution charts can be found below:

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


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National Fertilizers 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.

National Fertilizers's Cash Conversion Cycle for the fiscal year that ended in Mar. 2024 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=197.19+42.48-28.13
=211.54

National Fertilizers's Cash Conversion Cycle for the quarter that ended in Dec. 2024 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=37.56+17.7-27.9
=27.36

* 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.


National Fertilizers  (BOM:523630) 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.


National Fertilizers Cash Conversion Cycle Related Terms

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


National Fertilizers Business Description

Traded in Other Exchanges
Address
A-11, Sector-24, District Gautam Budh Nagar, Noida, UP, IND, 201301
National Fertilizers Ltd is engaged in the business of manufacturing agro chemicals. Its product portfolio includes Neem Coated Urea, four strains of Bio-Fertilizers (solid & liquid), Bentonite Sulphur, and other allied Industrial products like Ammonia, Nitric Acid, Ammonium Nitrate, Sodium Nitrite and Sodium Nitrate. The brand name of the company is known in the market as KISAN. The company also provides agriculture extension services to educate farmers on fertilizers and the know-how on scientific methods of cultivation. Its operating segments include Manufactured Fertilizers which derive key revenue, Manufactured Chemicals, Traded Imported Fertilizers, and Others. Geographically, the company caters only to the Indian market.

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