Virscend Education Co (HKSE:01565) Cash Conversion Cycle: 1.50 (As of Feb. 2026)

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HKSE:01565 Virscend Education Co Ltd HKSE:01565
57 GF Score
Price HK$0.19
GF Value HK$0.24
Valuation Modestly Undervalued
! 6 Warning Signs
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What is Virscend Education Co Cash Conversion Cycle?

Virscend Education Co HKSE:01565 -0.52% 57 Cash Conversion Cycle is 1.50 as of Feb. 2026. GuruFocus rates HKSE:01565 with a GF Score™ of 57/100 and a GF Value™ of HK$0.24 (Modestly Undervalued). The stock has 6 warning signs investors should review.

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

Virscend Education Co's Days Sales Outstanding for the six months ended in Feb. 2026 was 1.95.
Virscend Education Co's Days Inventory for the six months ended in Feb. 2026 was 0.42.
Virscend Education Co's Days Payable for the six months ended in Feb. 2026 was 0.87.
Therefore, Virscend Education Co's Cash Conversion Cycle (CCC) for the six months ended in Feb. 2026 was 1.50.


Virscend Education Co  (HKSE:01565) 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.


Virscend Education Co Cash Conversion Cycle Related Terms


Virscend Education Co Cash Conversion Cycle Historical Data

* Premium members only.

The historical data trend for Virscend Education Co'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.

Virscend Education Co Cash Conversion Cycle Chart

Virscend Education Co Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Aug22 Aug23 Aug24 Aug25
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only -80.45 -38.82 -0.24 -0.19 0.48

Virscend Education Co Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
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 -0.49 -0.67 -0.22 0.67 1.50

HKSE:01565 vs EDU, TAL, LAUR: Cash Conversion Cycle Comparison

For the Education & Training Services subindustry, Virscend Education Co'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.


Virscend Education Co Cash Conversion Cycle vs Education Industry

For the Education industry and Consumer Defensive sector, Virscend Education Co's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Virscend Education Co's Cash Conversion Cycle falls into.


HKSE:01565
57GF Score
Virscend Education Co Ltd HKSE:01565
Cash Conversion Cycle is just one metric. See GF Score™, valuation, warning signs, and more.
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Virscend Education Co 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.

Virscend Education Co's Cash Conversion Cycle for the fiscal year that ended in Aug. 2025 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=1.22+0.11-0.85
=0.48

Virscend Education Co's Cash Conversion Cycle for the quarter that ended in Feb. 2026 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=1.95+0.42-0.87
=1.50

* 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.

Frequently Asked Questions Learn more about Cash Conversion Cycle →
What does a Cash Conversion Cycle of 1.50 mean?
Virscend Education Co (HKSE:01565) has a Cash Conversion Cycle of 1.50 as of Feb. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Virscend Education Co and its competitors.
Is Virscend Education Co's Cash Conversion Cycle too high?
Virscend Education Co's current Cash Conversion Cycle is 1.50. The Education industry median Cash Conversion Cycle is 9.96. Virscend Education Co's value of 1.50 is 84.9% below this industry median. Overall, Virscend Education Co has a GF Score™ of 57/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Virscend Education Co's Cash Conversion Cycle compare to EDU and TAL?
Virscend Education Co's Cash Conversion Cycle of 1.50 can be compared against companies in the Education industry. The industry median Cash Conversion Cycle is 9.96. Virscend Education Co's value of 1.50 is 84.9% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for an Education company?
The median Cash Conversion Cycle among Education companies is 9.96, based on 256 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Virscend Education Co's current Cash Conversion Cycle of 1.50 is 84.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Virscend Education Co and its competitors. For the Education industry, the median Cash Conversion Cycle is 9.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Virscend Education Co's current Cash Conversion Cycle is 1.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Virscend Education Co stock overvalued right now?
Based on GuruFocus' analysis, Virscend Education Co (HKSE:01565) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$0.24, compared to a current price of HK$0.19 — trading 19.6% below its estimated fair value. The current Cash Conversion Cycle is 1.50 and 84.9% below the Education industry median of 9.96. Virscend Education Co's overall GF Score™ is 57/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Virscend Education Co (HKSE:01565), the current Cash Conversion Cycle is 1.50 as of Feb. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Virscend Education Co (HKSE:01565) Overvalued in 2026?

Based on GuruFocus' analysis, Virscend Education Co stock appears to be undervalued. The current stock price of HK$0.19 is trading 19.6% below its estimated GF Value™ of HK$0.24. GuruFocus considers Virscend Education Co to be Modestly Undervalued.

Key valuation signals for HKSE:01565:

  • Cash Conversion Cycle: 1.50
  • GF Value™: HK$0.24 vs. price of HK$0.19 (19.6% below fair value)
  • GF Score™: 57/100 with 6 warning signs
  • Industry Position: 84.9% below the Education median

No single metric tells the full story. See the HKSE:01565 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Virscend Education Co Business Description

Address No. 18 Sandongqiao Road, Jinniu District, Chengdu, CHN
Virscend Education Co Ltd is a provider of K-12 private education services. The company is a provider of high school and university private education services in Southwest China. The firm's formal education industry consists of education for pre-school, primary, middle, and high school students with a total of over 16-second foreign language-based classes to its students, which include German, French, and Japanese, among other languages. The majority of the company's revenues are generated through tuition fees.
57GF Score

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Cash Conversion Cycle is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$0.19
Price
HK$0.24
GF Value