GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » PostRock Energy Corp (OTCPK:PSTRQ) » Definitions » Cash Conversion Cycle

PostRock Energy (PostRock Energy) Cash Conversion Cycle : 22.52 (As of Sep. 2015)


View and export this data going back to 2015. Start your Free Trial

What is PostRock Energy Cash Conversion Cycle?

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

PostRock Energy's Days Sales Outstanding for the three months ended in Sep. 2015 was 36.18.
PostRock Energy's Days Inventory for the three months ended in Sep. 2015 was 12.73.
PostRock Energy's Days Payable for the three months ended in Sep. 2015 was 26.39.
Therefore, PostRock Energy's Cash Conversion Cycle (CCC) for the three months ended in Sep. 2015 was 22.52.


PostRock Energy Cash Conversion Cycle Historical Data

The historical data trend for PostRock Energy'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.

PostRock Energy Cash Conversion Cycle Chart

PostRock Energy Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Cash Conversion Cycle
Get a 7-Day Free Trial - 3.81 -25.46 -30.17 -29.14

PostRock Energy Quarterly Data
Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15
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 -1.24 -6.43 5.12 24.67 22.52

Competitive Comparison of PostRock Energy's Cash Conversion Cycle

For the Oil & Gas E&P subindustry, PostRock Energy'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.


PostRock Energy's Cash Conversion Cycle Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, PostRock Energy's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where PostRock Energy's Cash Conversion Cycle falls into.



PostRock Energy 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.

PostRock Energy's Cash Conversion Cycle for the fiscal year that ended in Dec. 2014 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=36.72+8.61-74.47
=-29.14

PostRock Energy's Cash Conversion Cycle for the quarter that ended in Sep. 2015 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=36.18+12.73-26.39
=22.52

* 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.


PostRock Energy  (OTCPK:PSTRQ) 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.


PostRock Energy Cash Conversion Cycle Related Terms

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


PostRock Energy (PostRock Energy) Business Description

Traded in Other Exchanges
N/A
Address
210 Park Avenue, Oklahoma, OK, USA, 73102
PostRock Energy Corp together with its subsidiaries is an independent oil and gas company. The company is engaged in acquisition, exploration, development, production and gathering of crude oil and natural gas.
Executives
Duke R Ligon director 2800 WEST COUNTRY CLUB DRIVE, SUITE E, OKLAHOMA CITY OK 73116
Alexander P Lynch director BIOFUEL ENERGY CORP., 1600 BROADWAY SUITE 2200, DENVER CO 80202
Ben A Guill 10 percent owner 600 TRAVIS, SUITE 6000, HOUSTON TX 77002
Edelman & Guill Energy L.p. director, 10 percent owner 700 LOUISIANA STREET, SUITE 4770, HOUSTON TX 77002
Edelman & Guill Energy Ltd. 10 percent owner 700 LOUISIANA STREET, SUITE 4770, HOUSTON TX 77002
White Deer Energy Fi, L.p. 10 percent owner 700 LOUISIANA STREET, SUITE 4770, HOUSTON TX 77002
White Deer Energy Te L.p. 10 percent owner 700 LOUISIANA STREET, HOUSTON TX 77002
White Deer Energy L.p. 10 percent owner 700 LOUISIANA STREET, HOUSTON TX 77002
Thomas J Edelman 10 percent owner 777 MAIN STREET SUITE 2500, FORT WORTH TX 76102
J Philip Mccormick director
Daniel L Spears director C/O EMERALD OIL, INC., 200 COLUMBINE, SUITE 500, DENVER CO 80206
Jack T Collins officer: EVP & CFO 210 PARK AVENUE SUITE 2750 OKLAHOMA CITY OK 73102
Constellation Energy Group Inc 10 percent owner 100 CONSTELLATION WAY, BALTIMORE MD 21202
David C Lawler director, officer: CEO and President 9520 NORTH MAY STREET, SUITE 300, OKLAHOMA CITY OK 73120
Gary M Pittman director C/O FLOTEK INDUSTRIES, INC., 2930 W. SAM HOUSTON PARKWAY N., STE. 300, HOUSTON, TX 77043

PostRock Energy (PostRock Energy) Headlines

From GuruFocus