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Rugby Estates (LSE:RES) Cash Conversion Cycle : 265.37 (As of Jul. 2012)


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What is Rugby Estates Cash Conversion Cycle?

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

Rugby Estates's Days Sales Outstanding for the six months ended in Jul. 2012 was 34.86.
Rugby Estates's Days Inventory for the six months ended in Jul. 2012 was 250.99.
Rugby Estates's Days Payable for the six months ended in Jul. 2012 was 20.48.
Therefore, Rugby Estates's Cash Conversion Cycle (CCC) for the six months ended in Jul. 2012 was 265.37.


Rugby Estates Cash Conversion Cycle Historical Data

The historical data trend for Rugby Estates'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.

Rugby Estates Cash Conversion Cycle Chart

Rugby Estates Annual Data
Trend Jan03 Jan04 Jan05 Jan06 Jan07 Jan08 Jan09 Jan10 Jan11 Jan12
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 940.62 1,675.41 1,610.14 528.26 732.13

Rugby Estates Semi-Annual Data
Jul03 Jan04 Jul04 Jan05 Jul05 Jan06 Jul06 Jan07 Jul07 Jan08 Jul08 Jan09 Jul09 Jan10 Jul10 Jan11 Jul11 Jan12 Jul12
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 289.28 1,889.04 593.99 809.89 265.37

Competitive Comparison of Rugby Estates's Cash Conversion Cycle

For the Real Estate Services subindustry, Rugby Estates'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.


Rugby Estates's Cash Conversion Cycle Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Rugby Estates's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Rugby Estates's Cash Conversion Cycle falls into.



Rugby Estates 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.

Rugby Estates's Cash Conversion Cycle for the fiscal year that ended in Jan. 2012 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=29.76+703.4-1.03
=732.13

Rugby Estates's Cash Conversion Cycle for the quarter that ended in Jul. 2012 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=34.86+250.99-20.48
=265.37

* 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.


Rugby Estates  (LSE:RES) 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.


Rugby Estates Cash Conversion Cycle Related Terms

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


Rugby Estates (LSE:RES) Business Description

Traded in Other Exchanges
N/A
Address
Rugby Estates PLC carries on the business of property trading, management and investment within the United Kingdom. It operates in two principal business segments. Rugby Capital deals with its property trading and development activities including the group's directly-owned portfolio and collaborative ventures substantially involving the group's equity. Rugby Asset Management deals with its co-investment and asset management activities. The Company operates within the United Kingdom.

Rugby Estates (LSE:RES) Headlines

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