The Kenya Power & Lighting Co (NAI:KPLC) 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.
The Kenya Power & Lighting Co Cash Conversion Cycle Related Terms
The Kenya Power & Lighting Co Cash Conversion Cycle Historical Data
* 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.
The Kenya Power & Lighting Co Cash Conversion Cycle Chart
NAI:KPLC vs NEE, SO, DUK: Cash Conversion Cycle Comparison
For the Utilities - Regulated Electric subindustry, The Kenya Power & Lighting 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.
The Kenya Power & Lighting Co Cash Conversion Cycle vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, The Kenya Power & Lighting Co's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where The Kenya Power & Lighting Co's Cash Conversion Cycle falls into.
The Kenya Power & Lighting 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.
* 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.
The Kenya Power & Lighting Co (NAI:KPLC) has a Cash Conversion Cycle of -62.95 as of Dec. 2025. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on The Kenya Power & Lighting Co and its competitors.
Is The Kenya Power & Lighting Co's Cash Conversion Cycle too high?
The Kenya Power & Lighting Co's current Cash Conversion Cycle is -62.95. Overall, The Kenya Power & Lighting Co has a GF Score™ of 64/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Kenya Power & Lighting Co's Cash Conversion Cycle compare to NEE and SO?
The Kenya Power & Lighting Co's Cash Conversion Cycle of -62.95 can be compared against companies in the Utilities - Regulated industry. The industry median Cash Conversion Cycle is 13.94. 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 Utilities - Regulated company?
The median Cash Conversion Cycle among Utilities - Regulated companies is 13.94, based on 497 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. 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 The Kenya Power & Lighting Co and its competitors. For the Utilities - Regulated industry, the median Cash Conversion Cycle is 13.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Kenya Power & Lighting Co's current Cash Conversion Cycle is -62.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Kenya Power & Lighting Co stock overvalued right now?
Based on GuruFocus' analysis, The Kenya Power & Lighting Co (NAI:KPLC) is currently considered Significantly Overvalued. The stock's GF Value™ is KES2.40, compared to a current price of KES18.00 — trading 650% above its estimated fair value. The current Cash Conversion Cycle is -62.95. The Kenya Power & Lighting Co's overall GF Score™ is 64/100 with 7 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 The Kenya Power & Lighting Co (NAI:KPLC), the current Cash Conversion Cycle is -62.95 as of Dec. 2025. 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 The Kenya Power & Lighting Co (NAI:KPLC) Overvalued in 2026?
Based on GuruFocus' analysis, The Kenya Power & Lighting Co stock appears to be overvalued.
The current stock price of KES18.00 is trading 650% above its estimated GF Value™ of KES2.40.
GuruFocus considers The Kenya Power & Lighting Co to be Significantly Overvalued.
Key valuation signals for NAI:KPLC:
Cash Conversion Cycle: -62.95
GF Value™: KES2.40 vs. price of KES18.00 (650% above fair value)
No single metric tells the full story. See the NAI:KPLC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Kenya Power & Lighting Co Business Description
The Kenya Power & Lighting Co PLC is an electric power distribution company. The core business of the company includes transmission, distribution, and retail of electricity throughout Kenya. The company's business is organized by regions comprising Nairobi, Mount Kenya, Coast, and West Kenya. The firm also owns and operates an electricity transmission and distribution system in Kenya. The majority of the company's revenue is derived from the Nairobi region.
64GF Score
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Cash Conversion Cycle is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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