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NZTCF (Spark New Zealand) Cash Conversion Cycle : 38.11 (As of Jun. 2024)


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What is Spark New Zealand Cash Conversion Cycle?

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

Spark New Zealand's Days Sales Outstanding for the six months ended in Jun. 2024 was 67.92.
Spark New Zealand's Days Inventory for the six months ended in Jun. 2024 was 9.89.
Spark New Zealand's Days Payable for the six months ended in Jun. 2024 was 39.7.
Therefore, Spark New Zealand's Cash Conversion Cycle (CCC) for the six months ended in Jun. 2024 was 38.11.


Spark New Zealand Cash Conversion Cycle Historical Data

The historical data trend for Spark New Zealand'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.

Spark New Zealand Cash Conversion Cycle Chart

Spark New Zealand Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.11 -6.86 -4.10 1.28 -1.34

Spark New Zealand Semi-Annual Data
Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
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 26.79 43.03 57.63 59.49 38.11

Competitive Comparison of Spark New Zealand's Cash Conversion Cycle

For the Telecom Services subindustry, Spark New Zealand'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.


Spark New Zealand's Cash Conversion Cycle Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Spark New Zealand's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Spark New Zealand's Cash Conversion Cycle falls into.



Spark New Zealand 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.

Spark New Zealand's Cash Conversion Cycle for the fiscal year that ended in Jun. 2024 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=40.82+16.82-58.98
=-1.34

Spark New Zealand's Cash Conversion Cycle for the quarter that ended in Jun. 2024 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=67.92+9.89-39.7
=38.11

* 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.


Spark New Zealand  (OTCPK:NZTCF) 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.


Spark New Zealand Cash Conversion Cycle Related Terms

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Spark New Zealand Business Description

Address
167 Victoria Street West, Level 2, Spark City, Private Bag 92028, Auckland, NTL, NZL, 1010
Spark is one of only three integrated telecommunications operators in New Zealand. It is the leading mobile network operator with low- to mid-40% subscriber and revenue share, and the dominant provider of fixed-line broadband services with a mid-30% subscriber share. It has a commanding presence in the New Zealand corporate and wholesale telecommunications services provision space. Spark supplements its core telecommunications operations and related infrastructure with IT products and services across cloud, managed data and networks, procurement, data centers, and Internet of Things. Its operations are entirely based in New Zealand, except for its 41% interest in Southern Cross Submarine Cables, which has zero book value and to which Spark has no funding obligations.