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Al Seer Marine Supplies & Equipment PJSC (ADX:ASM) Cash Conversion Cycle : 77.39 (As of Dec. 2021)


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What is Al Seer Marine Supplies & Equipment PJSC Cash Conversion Cycle?

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

Al Seer Marine Supplies & Equipment PJSC's Days Sales Outstanding for the six months ended in Dec. 2021 was 150.46.
Al Seer Marine Supplies & Equipment PJSC's Days Inventory for the six months ended in Dec. 2021 was 0.63.
Al Seer Marine Supplies & Equipment PJSC's Days Payable for the six months ended in Dec. 2021 was 73.7.
Therefore, Al Seer Marine Supplies & Equipment PJSC's Cash Conversion Cycle (CCC) for the six months ended in Dec. 2021 was 77.39.

Al Seer Marine Supplies & Equipment PJSC Cash Conversion Cycle Historical Data

The historical data trend for Al Seer Marine Supplies & Equipment PJSC'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.

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Al Seer Marine Supplies & Equipment PJSC Cash Conversion Cycle Chart

Al Seer Marine Supplies & Equipment PJSC Annual Data
Trend Dec20 Dec21
Cash Conversion Cycle
78.22 77.39

Al Seer Marine Supplies & Equipment PJSC Semi-Annual Data
Dec20 Dec21
Cash Conversion Cycle 78.22 77.39

Competitive Comparison of Al Seer Marine Supplies & Equipment PJSC's Cash Conversion Cycle

For the Marine Shipping subindustry, Al Seer Marine Supplies & Equipment PJSC'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.

Al Seer Marine Supplies & Equipment PJSC's Cash Conversion Cycle Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Al Seer Marine Supplies & Equipment PJSC's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Al Seer Marine Supplies & Equipment PJSC's Cash Conversion Cycle falls into.


Al Seer Marine Supplies & Equipment PJSC 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.

Al Seer Marine Supplies & Equipment PJSC's Cash Conversion Cycle for the fiscal year that ended in Dec. 2021 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=150.46+0.63-73.7
=77.39

Al Seer Marine Supplies & Equipment PJSC's Cash Conversion Cycle for the quarter that ended in Dec. 2021 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=150.46+0.63-73.7
=77.39

* 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.

Al Seer Marine Supplies & Equipment PJSC  (ADX:ASM) 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.

Al Seer Marine Supplies & Equipment PJSC Cash Conversion Cycle Related Terms

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Al Seer Marine Supplies & Equipment PJSC (ADX:ASM) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Industrials » Transportation » Al Seer Marine Supplies & Equipment PJSC (ADX:ASM) » Definitions » Cash Conversion Cycle
Comparable Companies
Traded in Other Exchanges
N/A
Address
Plot Number A-20, Sector MW-5, P.O. Box 33639, Mussafah Industrial City, Abu Dhabi, ARE
Website
https://www.alseermarine.ae
Al Seer Marine Supplies & Equipment PJSC is a marine company in the Arabian maritime region, with a portfolio of services that caters to all needs of boat owners, managers and crew. The services of the company include Boat Building, Maintenance Services, Yacht Management, Training Institute, and Maintenance services among others.