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GRBK (Green Brick Partners) Cash Conversion Cycle : 465.49 (As of Sep. 2024)


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What is Green Brick Partners Cash Conversion Cycle?

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

Green Brick Partners's Days Sales Outstanding for the three months ended in Sep. 2024 was 2.27.
Green Brick Partners's Days Inventory for the three months ended in Sep. 2024 was 480.76.
Green Brick Partners's Days Payable for the three months ended in Sep. 2024 was 17.54.
Therefore, Green Brick Partners's Cash Conversion Cycle (CCC) for the three months ended in Sep. 2024 was 465.49.


Green Brick Partners Cash Conversion Cycle Historical Data

The historical data trend for Green Brick Partners'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.

Green Brick Partners Cash Conversion Cycle Chart

Green Brick Partners Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 402.73 381.83 348.43 375.04 424.63

Green Brick Partners Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 450.44 428.35 471.98 410.99 465.49

Competitive Comparison of Green Brick Partners's Cash Conversion Cycle

For the Residential Construction subindustry, Green Brick Partners'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.


Green Brick Partners's Cash Conversion Cycle Distribution in the Homebuilding & Construction Industry

For the Homebuilding & Construction industry and Consumer Cyclical sector, Green Brick Partners's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Green Brick Partners's Cash Conversion Cycle falls into.



Green Brick Partners 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.

Green Brick Partners's Cash Conversion Cycle for the fiscal year that ended in Dec. 2023 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=1.63+438.75-15.75
=424.63

Green Brick Partners's Cash Conversion Cycle for the quarter that ended in Sep. 2024 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=2.27+480.76-17.54
=465.49

* 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.


Green Brick Partners  (NYSE:GRBK) 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.


Green Brick Partners Cash Conversion Cycle Related Terms

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


Green Brick Partners Business Description

Traded in Other Exchanges
Address
5501 Headquarters Drive, Suite 300 W, Plano, TX, USA, 75024
Green Brick Partners Inc is a homebuilding and land development company. It acquires and develops land, as well as provides land and construction financing to its controlled builders. The company has three reportable segments: builder operations central, builder operations southeast, and land development. The majority of the company's revenue is generated from the builder operations central segment which is entirely the operations of builders in Texas. The company is engaged in various aspects of the homebuilding process, including land acquisition and development, entitlements, design, construction, marketing, sales, and brand image creation. In addition to homebuilding, the company provides home financing services, such as mortgage and title, through its subsidiaries.
Executives
Richard S Press director 101 BOGLE STREET, WESTON MA 02493
David Einhorn director, 10 percent owner 140 EAST 45TH STREET, 24TH FLOOR, NEW YORK NY 10017
James R. Brickman director, officer: Chief Executive Officer 3131 HARVARD AVENUE, SUTE 103, DALLAS TX 75205
Kathleen Olsen director 4 BROOKSIDE DRIVE, PORT WASHINGTON NY 11050
Richard Arthur Costello officer: Chief Financial Officer 2805 DALLAS PARKWAY, SUITE 400, PLANO TX 75093
Jed Dolson officer: See Remarks 3131 HARVARD AVENUE, SUTE 103, DALLAS TX 75205
Dme Capital Management, Lp director, 10 percent owner 140 EAST 45TH STREET, 24TH FLOOR, NEW YORK NY 10017
Dme Advisors Gp, L.l.c. director, 10 percent owner 140 EAST 45TH STREET, 24TH FLOOR, NEW YORK NY 10017
Dme Advisors, Lp director, 10 percent owner 140 EAST 45TH STREET, 24TH FLOOR, NEW YORK NY 10017
Greenlight Capital Inc director, 10 percent owner 140 EAST 45TH STREET, 24TH FLOOR, NEW YORK NY 10017
Elizabeth Blake director BIOFUEL ENERGY CORP., 1600 BROADWAY SUITE 2200, DENVER CO 80202
Harry Brandler director 2 GRAND CENTRAL TOWER, 140 EAST 45TH STREET, 24TH FLOOR, NEW YORK NY 10017
Neal J Suit officer: General Counsel & EVP C/O LEGACY HOUSING CORPORATION, 1600 AIRPORT FREEWAY, #100, BEDFORD TX 76022
Lila A Murphy director 2000 S. COLORADO BLVD., SUITE 10200, DENVER CO 80222
John R Farris director P.O. BOX 309, FRANKFORT KY 40602-0309