GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Global Payment Technologies Inc (OTCPK:GPTX) » Definitions » Cash Conversion Cycle

Global Payment Technologies (Global Payment Technologies) Cash Conversion Cycle : 55.21 (As of Jun. 2008)


View and export this data going back to 1995. Start your Free Trial

What is Global Payment Technologies Cash Conversion Cycle?

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

Global Payment Technologies's Days Sales Outstanding for the three months ended in Jun. 2008 was 25.61.
Global Payment Technologies's Days Inventory for the three months ended in Jun. 2008 was 99.51.
Global Payment Technologies's Days Payable for the three months ended in Jun. 2008 was 69.91.
Therefore, Global Payment Technologies's Cash Conversion Cycle (CCC) for the three months ended in Jun. 2008 was 55.21.


Global Payment Technologies Cash Conversion Cycle Historical Data

The historical data trend for Global Payment Technologies'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.

Global Payment Technologies Cash Conversion Cycle Chart

Global Payment Technologies Annual Data
Trend Sep98 Sep99 Sep00 Sep01 Sep02 Sep03 Sep04 Sep05 Sep06 Sep07
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 125.62 91.39 84.22 162.39 142.08

Global Payment Technologies Quarterly Data
Sep03 Dec03 Mar04 Jun04 Sep04 Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08
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 148.68 187.95 107.66 80.63 55.21

Competitive Comparison of Global Payment Technologies's Cash Conversion Cycle

For the Business Equipment & Supplies subindustry, Global Payment Technologies'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.


Global Payment Technologies's Cash Conversion Cycle Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Global Payment Technologies's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Global Payment Technologies's Cash Conversion Cycle falls into.



Global Payment Technologies 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.

Global Payment Technologies's Cash Conversion Cycle for the fiscal year that ended in Sep. 2007 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=48.68+157.41-64.01
=142.08

Global Payment Technologies's Cash Conversion Cycle for the quarter that ended in Jun. 2008 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=25.61+99.51-69.91
=55.21

* 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.


Global Payment Technologies  (OTCPK:GPTX) 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.


Global Payment Technologies Cash Conversion Cycle Related Terms

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


Global Payment Technologies (Global Payment Technologies) Business Description

Traded in Other Exchanges
N/A
Address
170 Wilbur Place, Bohemia, NY, USA, 11716
Global Payment Technologies Inc designs, manufactures, sells and supports payment components internationally. GPT carries a full range of payment components and specialises in innovative note validation and payment components for the international Gaming, Vending, Parking and Kiosk industries. Its products can be product can be found in all Australian Casinos, Clubs, and Hotels.
Executives
Thomas Mcneill officer: Vice President, CFO & Secy 425B OSER AVE, HAUPPAUGE NY 11788
Henry Ellis director 111 BOLAND STREET, SUITE 300 FORT WORTH TX 76107
Stephen Katz 10 percent owner

Global Payment Technologies (Global Payment Technologies) Headlines

No Headlines