Lotte Chemical Pakistan (KAR:LOTCHEM) Cash Conversion Cycle: 51.81 (As of Mar. 2026)

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KAR:LOTCHEM Lotte Chemical Pakistan Ltd KAR:LOTCHEM
72 GF Score
Price ₨29.65
GF Value ₨18.64
Valuation Significantly Overvalued
! 9 Warning Signs
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What is Lotte Chemical Pakistan Cash Conversion Cycle?

Lotte Chemical Pakistan KAR:LOTCHEM +1.86% 72 Cash Conversion Cycle is 51.81 as of Mar. 2026. GuruFocus rates KAR:LOTCHEM with a GF Score™ of 72/100 and a GF Value™ of ₨18.64 (Significantly Overvalued). The stock has 9 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.

Lotte Chemical Pakistan's Days Sales Outstanding for the three months ended in Mar. 2026 was 24.42.
Lotte Chemical Pakistan's Days Inventory for the three months ended in Mar. 2026 was 55.55.
Lotte Chemical Pakistan's Days Payable for the three months ended in Mar. 2026 was 28.16.
Therefore, Lotte Chemical Pakistan's Cash Conversion Cycle (CCC) for the three months ended in Mar. 2026 was 51.81.


Lotte Chemical Pakistan  (KAR:LOTCHEM) 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.


Lotte Chemical Pakistan Cash Conversion Cycle Related Terms


Lotte Chemical Pakistan Cash Conversion Cycle Historical Data

* Premium members only.

The historical data trend for Lotte Chemical Pakistan'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.

Lotte Chemical Pakistan Cash Conversion Cycle Chart

Lotte Chemical Pakistan Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.52 34.10 79.42 44.31 31.07

Lotte Chemical Pakistan Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 33.36 45.27 47.88 46.61 51.81

KAR:LOTCHEM vs LIN, SHW, ECL: Cash Conversion Cycle Comparison

For the Specialty Chemicals subindustry, Lotte Chemical Pakistan'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.


Lotte Chemical Pakistan Cash Conversion Cycle vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Lotte Chemical Pakistan's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Lotte Chemical Pakistan's Cash Conversion Cycle falls into.


KAR:LOTCHEM
72GF Score
Lotte Chemical Pakistan Ltd KAR:LOTCHEM
Cash Conversion Cycle is just one metric. See GF Score™, valuation, warning signs, and more.
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Lotte Chemical Pakistan 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.

Lotte Chemical Pakistan's Cash Conversion Cycle for the fiscal year that ended in Dec. 2025 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=22.58+48.22-39.73
=31.07

Lotte Chemical Pakistan's Cash Conversion Cycle for the quarter that ended in Mar. 2026 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=24.42+55.55-28.16
=51.81

* 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 51.81 mean?
Lotte Chemical Pakistan (KAR:LOTCHEM) has a Cash Conversion Cycle of 51.81 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Lotte Chemical Pakistan and its competitors.
Is Lotte Chemical Pakistan's Cash Conversion Cycle too high?
Lotte Chemical Pakistan's current Cash Conversion Cycle is 51.81. The Chemicals industry median Cash Conversion Cycle is 89.20. Lotte Chemical Pakistan's value of 51.81 is 41.9% below this industry median. Overall, Lotte Chemical Pakistan has a GF Score™ of 72/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lotte Chemical Pakistan's Cash Conversion Cycle compare to LIN and SHW?
Lotte Chemical Pakistan's Cash Conversion Cycle of 51.81 can be compared against companies in the Chemicals industry. The industry median Cash Conversion Cycle is 89.20. Lotte Chemical Pakistan's value of 51.81 is 41.9% 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 a Chemicals company?
The median Cash Conversion Cycle among Chemicals companies is 89.20, based on 1,579 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. Lotte Chemical Pakistan's current Cash Conversion Cycle of 51.81 is 41.9% 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 Lotte Chemical Pakistan and its competitors. For the Chemicals industry, the median Cash Conversion Cycle is 89.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lotte Chemical Pakistan's current Cash Conversion Cycle is 51.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lotte Chemical Pakistan stock overvalued right now?
Based on GuruFocus' analysis, Lotte Chemical Pakistan (KAR:LOTCHEM) is currently considered Significantly Overvalued. The stock's GF Value™ is ₨18.64, compared to a current price of ₨29.65 — trading 59.1% above its estimated fair value. The current Cash Conversion Cycle is 51.81 and 41.9% below the Chemicals industry median of 89.20. Lotte Chemical Pakistan's overall GF Score™ is 72/100 with 9 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 Lotte Chemical Pakistan (KAR:LOTCHEM), the current Cash Conversion Cycle is 51.81 as of Mar. 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 Lotte Chemical Pakistan (KAR:LOTCHEM) Overvalued in 2026?

Based on GuruFocus' analysis, Lotte Chemical Pakistan stock appears to be overvalued. The current stock price of ₨29.65 is trading 59.1% above its estimated GF Value™ of ₨18.64. GuruFocus considers Lotte Chemical Pakistan to be Significantly Overvalued.

Key valuation signals for KAR:LOTCHEM:

  • Cash Conversion Cycle: 51.81
  • GF Value™: ₨18.64 vs. price of ₨29.65 (59.1% above fair value)
  • GF Score™: 72/100 with 9 warning signs
  • Industry Position: 41.9% below the Chemicals median

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


Lotte Chemical Pakistan Business Description

Address EZ/1/P-4, Eastern Industrial Zone, Port Qasim Authority, Bin Qasim, Karachi, SD, PAK, 75020
Lotte Chemical Pakistan Ltd is engaged in the manufacture and sale of Purified Terephthalic Acid (PTA). PTA is a key raw material used in the production of polyester fiber, polyester filament yarn, polyester film, and polyethylene terephthalate (PET).
72GF Score

Get the complete analysis for KAR:LOTCHEM

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

₨29.65
Price
₨18.64
GF Value