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RPX (RPXC) Cash Conversion Cycle : 81.41 (As of Mar. 2018)


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What is RPX Cash Conversion Cycle?

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

RPX's Days Sales Outstanding for the three months ended in Mar. 2018 was 87.71.
RPX's Days Inventory for the three months ended in Mar. 2018 was 0.
RPX's Days Payable for the three months ended in Mar. 2018 was 6.3.
Therefore, RPX's Cash Conversion Cycle (CCC) for the three months ended in Mar. 2018 was 81.41.


RPX Cash Conversion Cycle Historical Data

The historical data trend for RPX'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.

RPX Cash Conversion Cycle Chart

RPX Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only 47.41 43.69 22.74 39.06 59.17

RPX Quarterly Data
Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18
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 55.69 38.65 37.53 46.69 81.41

Competitive Comparison of RPX's Cash Conversion Cycle

For the Specialty Business Services subindustry, RPX'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.


RPX's Cash Conversion Cycle Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, RPX's Cash Conversion Cycle distribution charts can be found below:

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



RPX 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.

RPX's Cash Conversion Cycle for the fiscal year that ended in Dec. 2017 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=64.03+0-4.86
=59.17

RPX's Cash Conversion Cycle for the quarter that ended in Mar. 2018 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=87.71+0-6.3
=81.41

* 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.


RPX  (NAS:RPXC) 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.


RPX Cash Conversion Cycle Related Terms

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RPX (RPXC) Business Description

Traded in Other Exchanges
N/A
Address
RPX Corp is a U.S.-based company that offers patent aggregation solutions. The company acquires patents and licenses to patents that are already or can possibly be asserted against the company's existing and potential clients, and after that, the company licenses these patents to clients, in a bid to help clients reduce patent litigation risks, obtain cost-effective licenses, and control patent-risk management costs. The firm's revenue primarily stems from the subscription fees paid by clients under agreement, the premiums earned from insurance policies, and management fees. The company generates most of its revenue from the United States, Japan, and Korea.
Executives
Shelby W Bonnie director C/O CNET, 150 CHESTNUT ST., SAN FRANCISCO CA 94111
Frank E Dangeard director THOMSON, 46 QUAI LE GALLO, BOULOGNE I0 92648
Sanford Robertson director ONE LETTERMAN DRIVE, BUILDING C SUITE 410, SAN FRANCISCO CA 94129
Magdalena Yesil director 2306 MAR EAST STREET, TIBURON CA 94920
Andrew Africk director
Gilbert Samuel Palter director 37 MISTY CRESCENT TORONTO A6 MSB IT2
Thomas O Ryder director C/O READERS DIGEST ASSOCITATION INC, READERS DIGEST RD., PLEASANTVILLE NY 10570
Geoffrey T Barker director, officer: Executive Director 1 MARKET PLAZA, STEUART TOWER, SUITE 800, SAN FRANCISCO CA 94105
Ned D. Segal officer: Chief Financial Officer, SVP 1 MARKET PLAZA, STEUART TOWER, SUITE 800, SAN FRANCISCO CA 94105
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Charles River Partnership Xiii, Lp 10 percent owner ONE BROADWAY, 15TH FLOOR, CAMBRIDGE MA 02142
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