Working Capital = Current Assets - Current Liabilities 35

Year 2016
Total Current Assets 35,508,000
Total Current Liabilities 20,302,000

Positive NWC 15,206,000

Positive NWC

Cash Conversion Cycle

CCC = AAI + AAR - AAP

Accounts Receivable - Trade, Net 4,690,000

Total Inventory 5,553,000
Credit Sales 42,633,000
COGS 20,649,000
Accounts Payable 2,475,000
Change in Inventories 386,000
COGS + Change in Inventories 21,035,000

ARTO = Credit Sales / AR 9.09

AAR = 365 / ARTO 40.15

ITO = COGS / Inventory 3.72

AAI = 365 / ITO 98.16

Operating Cycle AAR + AAI 138.31

Ave Payable Period = 365 / APTO 42.95

APTO = COGS + Change in Inventory / AP 8.50

CCC = AAI + AAR - AAP 95.36

 34 33 32 31
2015 2014 2013 2012
38,320,000 27,730,000 32,084,000 31,358,000
15,646,000 16,011,000 13,568,000 12,898,000

22,674,000 11,719,000 18,516,000 18,460,000

Positive NWC Positive NWC Positive NWC Positive NWC

4,787,000 4,427,000 3,582,000 3,833,000

5,167,000 4,273,000 4,172,000 4,734,000
45,820,000 40,558,000 42,593,000 35,258,000
20,036,000 12,059,000 13,165,000 13,136,000
2,063,000 2,748,000 2,969,000 3,023,000
894,000 101,000 (562,000)
20,930,000 12,160,000 12,603,000

9.57 9.16 11.89 9.20

38.13 39.84 30.70 39.68

3.88 2.82 3.16 2.77

94.13 129.33 115.67 131.54

132.26 169.18 146.36 171.22

35.98 82.49 85.99

10.15 4.43 4.24 the lower the CCC, the better.

96.28 86.69 60.38 171.22