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Gajanand International (NSE:GAJANAND) Cash Conversion Cycle : 131.79 (As of Sep. 2024)


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What is Gajanand International Cash Conversion Cycle?

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

Gajanand International's Days Sales Outstanding for the six months ended in Sep. 2024 was 36.76.
Gajanand International's Days Inventory for the six months ended in Sep. 2024 was 122.05.
Gajanand International's Days Payable for the six months ended in Sep. 2024 was 27.02.
Therefore, Gajanand International's Cash Conversion Cycle (CCC) for the six months ended in Sep. 2024 was 131.79.


Gajanand International Cash Conversion Cycle Historical Data

The historical data trend for Gajanand International'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.

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Gajanand International Cash Conversion Cycle Chart

Gajanand International Annual Data
Trend Mar22 Mar23 Mar24
Cash Conversion Cycle
104.71 86.48 76.72

Gajanand International Semi-Annual Data
Mar22 Mar23 Sep23 Mar24 Sep24
Cash Conversion Cycle - - 101.60 67.25 131.79

Competitive Comparison of Gajanand International's Cash Conversion Cycle

For the Farm Products subindustry, Gajanand International'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.


Gajanand International's Cash Conversion Cycle Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Gajanand International's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Gajanand International's Cash Conversion Cycle falls into.


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Gajanand International 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.

Gajanand International's Cash Conversion Cycle for the fiscal year that ended in Mar. 2024 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=23.26+70.5-17.04
=76.72

Gajanand International'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
=36.76+122.05-27.02
=131.79

* 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.


Gajanand International  (NSE:GAJANAND) 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.


Gajanand International Cash Conversion Cycle Related Terms

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Gajanand International Business Description

Traded in Other Exchanges
N/A
Address
Jasdan-Atkot Road, Near Bypass Circle, Survey No. 1257/1266, Jasdan, Rajkot, GJ, IND, 360050
Gajanand International Ltd is engaged in producing contamination-free and sustainable cotton. It offers high-quality service to its consumers. Its products include MECH1 Cotton, SHANKAR6 Cotton, DCH 32, and Khol.

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