McNally Bharat Engineering Co (NSE:MBECL) 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.
McNally Bharat Engineering Co Cash Conversion Cycle Related Terms
McNally Bharat Engineering 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.
McNally Bharat Engineering Co Cash Conversion Cycle Chart
NSE:MBECL vs PWR, EME, J: Cash Conversion Cycle Comparison
For the Engineering & Construction subindustry, McNally Bharat Engineering 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.
McNally Bharat Engineering Co Cash Conversion Cycle vs Construction Industry
For the Construction industry and Industrials sector, McNally Bharat Engineering Co's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where McNally Bharat Engineering Co's Cash Conversion Cycle falls into.
McNally Bharat Engineering 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.
McNally Bharat Engineering Co (NSE:MBECL) has a Cash Conversion Cycle of 740.09 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on McNally Bharat Engineering Co and its competitors.
Is McNally Bharat Engineering Co's Cash Conversion Cycle too high?
McNally Bharat Engineering Co's current Cash Conversion Cycle is 740.09. The Construction industry median Cash Conversion Cycle is 55.82. McNally Bharat Engineering Co's value of 740.09 is 1225.9% above this industry median.
How does McNally Bharat Engineering Co's Cash Conversion Cycle compare to PWR and EME?
McNally Bharat Engineering Co's Cash Conversion Cycle of 740.09 can be compared against companies in the Construction industry. The industry median Cash Conversion Cycle is 55.82. McNally Bharat Engineering Co's value of 740.09 is 1225.9% above 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 Construction company?
The median Cash Conversion Cycle among Construction companies is 55.82, based on 1,762 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. McNally Bharat Engineering Co's current Cash Conversion Cycle of 740.09 is 1225.9% above 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 McNally Bharat Engineering Co and its competitors. For the Construction industry, the median Cash Conversion Cycle is 55.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. McNally Bharat Engineering Co's current Cash Conversion Cycle is 740.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is McNally Bharat Engineering Co stock overvalued right now?
McNally Bharat Engineering Co (NSE:MBECL) has a current Cash Conversion Cycle of 740.09. The stock's GF Value™ is ₹26.80, compared to a current price of ₹65.40 — trading 144% above its estimated fair value. The current Cash Conversion Cycle is 740.09 and 1225.9% above the Construction industry median of 55.82. 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 McNally Bharat Engineering Co (NSE:MBECL), the current Cash Conversion Cycle is 740.09 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.
McNally Bharat Engineering Co Business Description
McNally Bharat Engineering Co Ltd is an engineering company. The firm is engaged in providing turnkey solutions in the areas of power, steel, coal and mining, ports, aluminum, material handling, mineral processing, pyro-processing, pneumatic handling of powdered material, including fly ash handling and high concentrate disposal, coal washing, cement, water, oil and gas, civic and industrial water supply, and others. The Group is mainly engaged in a single business segment, viz, Engineering, Procurement, and Construction.
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