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Riyadh Steel Co's Days Sales Outstanding for the
six
months ended in Dec. 2025 was 46.45.
Riyadh Steel Co's Days Inventory for the
six
months ended in Dec. 2025 was 110.61.
Riyadh Steel Co's Days Payable for the
six
months ended in Dec. 2025 was 2.82.
Therefore, Riyadh Steel Co's Cash Conversion Cycle (CCC) for the
six
months ended in Dec. 2025 was 154.24.
Riyadh Steel Co (SAU:9588) 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.
Riyadh Steel Co Cash Conversion Cycle Related Terms
Riyadh Steel Co Cash Conversion Cycle Historical Data
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The historical data trend for Riyadh Steel Co'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.
SAU:9588 vs NUE, STLD, RS: Cash Conversion Cycle Comparison
For the Steel subindustry, Riyadh Steel 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.
Riyadh Steel Co Cash Conversion Cycle vs Steel Industry
For the Steel industry and Basic Materials sector, Riyadh Steel Co's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where Riyadh Steel Co's Cash Conversion Cycle falls into.
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.
Riyadh Steel Co's Cash Conversion Cycle for the fiscal year that ended in Dec. 2025 is calculated as
* 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.
Riyadh Steel Co (SAU:9588) has a Cash Conversion Cycle of 154.24 as of Dec. 2025. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Riyadh Steel Co and its competitors.
Is Riyadh Steel Co's Cash Conversion Cycle too high?
Riyadh Steel Co's current Cash Conversion Cycle is 154.24. The Steel industry median Cash Conversion Cycle is 94.41. Riyadh Steel Co's value of 154.24 is 63.4% above this industry median. Overall, Riyadh Steel Co has a GF Score™ of 22/100, reflecting its overall financial health beyond just this single metric.
How does Riyadh Steel Co's Cash Conversion Cycle compare to NUE and STLD?
Riyadh Steel Co's Cash Conversion Cycle of 154.24 can be compared against companies in the Steel industry. The industry median Cash Conversion Cycle is 94.41. Riyadh Steel Co's value of 154.24 is 63.4% 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 Steel company?
The median Cash Conversion Cycle among Steel companies is 94.41, based on 610 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. Riyadh Steel Co's current Cash Conversion Cycle of 154.24 is 63.4% 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 Riyadh Steel Co and its competitors. For the Steel industry, the median Cash Conversion Cycle is 94.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Riyadh Steel Co's current Cash Conversion Cycle is 154.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Riyadh Steel Co stock overvalued right now?
Riyadh Steel Co (SAU:9588) has a current Cash Conversion Cycle of 154.24. The current Cash Conversion Cycle is 154.24 and 63.4% above the Steel industry median of 94.41. Riyadh Steel Co's overall GF Score™ is 22/100 with 3 warning signs to review. 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 Riyadh Steel Co (SAU:9588), the current Cash Conversion Cycle is 154.24 as of Dec. 2025. 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.
Riyadh Steel Co Group is a steel manufacturer principally engaged in the production of sheets, plates, strip coils, rods, skewers, corners, wires, and sections. The Company provides steel scrap, billets, and ASTM A36 standard flat and angle bars, and generates revenue from the sale of angled and flat bars and other finished goods, billets, and scrap iron and raw materials. It mainly operates in the Kingdom of Saudi Arabia, which generates the majority of its revenue, and also has a presence in other GCC countries.
22GF Score
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