Behind the Rankings
The management of working capital combines two measures, weighted equally:
1. Days of Working Capital (DWC) = (Receivables + Inventory Payables) ÷ (Sales ÷ 365 Days). If payables exceed the sum of receivables and inventory, DWC is negative.
2. Cash Conversion Efficiency (CCE) = Cash Flow from Operations ÷ Sales.
The overall ranking: (Highest Overall CCE Company CCE) ÷ (Highest Overall CCE Lowest Overall CCE) + (Lowest Overall DWC Company DWC) ÷ (Lowest Overall DWC Highest Overall DWC). Days of Sales Outstanding (DSO), Inventory Turns, and Days of Payables Outstanding (DPO) are not part of the overall ranking criteria. Industry averages consider all companies in an industry, not just the top five.
Sources: REL Consultancy Group, Piranha Web
Back to “Forget the Float? — The 2001 Working Capital Survey”
ENTERTAINMENT & LEISURE | ||||||||||||
Over- all Rank | Company Name | Prior Year Sales | Cash Conver. Effic. | Days Working Capital | Days Sales Outst. | Inven. Turns | Days Payable Outst. | |||||
CCE | Rk. | DWC | Rk. | DSO | Rk. | Ts. | Rk. | DPO | Rk. | |||
12 | CARNIVAL CORP | $3,779 | 36% | 16 | (7) | 25 | 8 | 72 | 21 | 138 | 24 | 627 |
30 | WALT DISNEY CO NEW | $25,402 | 24% | 56 | (4) | 32 | 57 | 632 | 25 | 122 | 74 | 41 |
35 | ROYAL CARIBBEAN CRUISES | $2,546 | 22% | 74 | (6) | 27 | 6 | 55 | 46 | 70 | 17 | 862 |
39 | LOEWS CINEPLEX ENTER- TAINMENT CORP | $891 | 11% | 346 | (62) | 4 | 8 | 78 | 186 | 12 | 72 | 46 |
44 | MCDON- ALD’S CORP | $14,243 | 21% | 78 | 4 | 66 | 19 | 157 | 92 | 29 | 17 | 860 |
49 | GTECH HOLDS. CORP | $1,011 | 27% | 34 | 41 | 371 | 39 | 363 | 15 | 202 | 17 | 876 |
58 | SIX FLAGS INC | $927 | 20% | 97 | 8 | 82 | 13 | 107 | 18 | 160 | 15 | 893 |
94 | APPLEBEE S INTNL. INC | $690 | 15% | 201 | 3 | 58 | 9 | 82 | 53 | 61 | 11 | 951 |
99 | HARLEY DAVIDSON INC | $2,906 | 18% | 137 | 20 | 170 | 16 | 128 | 9 | 323 | 21 | 735 |
102 | TRICON GLOBAL REST- AURANTS INC | $7,093 | 7% | 556 | (39) | 6 | 10 | 94 | 104 | 23 | 52 | 119 |
117 | BRINKER INTRNL. INC | $2,160 | 11% | 331 | (10) | 18 | 4 | 41 | 33 | 93 | 17 | 877 |
119 | RUBY TUESDAY INC | $797 | 11% | 310 | (6) | 29 | 3 | 28 | 46 | 71 | 14 | 921 |
122 | WENDY S INTER- NATIONAL INC | $2,072 | 12% | 278 | (1) | 44 | 13 | 108 | 40 | 81 | 20 | 775 |
136 | JACK IN THE BOX INC DE | $1,630 | 11% | 351 | (4) | 33 | 3 | 30 | 54 | 58 | 13 | 931 |
137 | RYAN S FAMILY STEAK HOUSES INC | $665 | 11% | 328 | (1) | 40 | 2 | 6 | 83 | 35 | 5 | 989 |
181 | PAPA JOHN S INTER- NATIONAL INC | $945 | 10% | 418 | 4 | 62 | 8 | 75 | 53 | 59 | 10 | 966 |
189 | BOB EVANS FARMS INC | $965 | 10% | 366 | 10 | 95 | 6 | 60 | 16 | 191 | 3 | 997 |
193 | EASTMAN KODAK CO | $13,994 | 11% | 353 | 12 | 117 | 68 | 780 | 5 | 624 | 97 | 13 |
195 | OHIO POWER CO | $2,039 | 20% | 104 | 65 | 590 | 58 | 637 | 5 | 665 | 30 | 430 |
200 | DARDEN REST- AURANTS INC | $3,701 | 9% | 457 | 4 | 67 | 3 | 19 | 18 | 165 | 15 | 909 |
202 | CKE REST- AURANTS INC | $1,990 | 7% | 569 | (4) | 31 | 9 | 80 | 42 | 79 | 18 | 841 |
204 | CBRL GROUP INC | $1,772 | 10% | 381 | 13 | 123 | 2 | 12 | 5 | 588 | 13 | 929 |
255 | AVADO BRANDS INC | $644 | 5% | 703 | (3) | 34 | 4 | 40 | 68 | 41 | 12 | 942 |
272 | POLARIS INDUSTRIES INC | $1,426 | 9% | 445 | 24 | 208 | 14 | 117 | 8 | 374 | 24 | 642 |
275 | FRIENDLY ICE CREAM CORP | $709 | 4% | 733 | (3) | 36 | 3 | 29 | 30 | 102 | 14 | 924 |
327 | SHONEY’S INC | $836 | 4% | 775 | 5 | 75 | 4 | 37 | 25 | 124 | 12 | 945 |
358 | ADVANTICA REST- AURANT GROUP | $1,590 | 1% | 917 | (7) | 24 | 4 | 38 | 58 | 51 | 22 | 711 |
376 | ELECTR. ARTS INC | $1,420 | 8% | 503 | 38 | 332 | 54 | 583 | 28 | 109 | 22 | 695 |
416 | CALLAWAY GOLF CO | $838 | 13% | 264 | 72 | 641 | 30 | 260 | 3 | 838 | 21 | 761 |
427 | WINNE- BAGO INDUS. INC | $743 | 7% | 549 | 42 | 377 | 16 | 132 | 7 | 431 | 17 | 865 |
459 | INTER- NATIONAL GAME TECH. | $1,004 | 18% | 132 | 108 | 879 | 80 | 873 | 4 | 798 | 25 | 601 |
525 | BRUNSWICK CORP | $3,812 | 9% | 424 | 69 | 615 | 41 | 402 | 5 | 618 | 27 | 549 |
527 | THOR INDUS. INC | $894 | 4% | 756 | 36 | 310 | 24 | 190 | 9 | 333 | 22 | 688 |
594 | FLEETWOOD ENTERPR. INC | $3,713 | 2% | 830 | 38 | 322 | 25 | 198 | 12 | 265 | 14 | 920 |
607 | AMF BOWLING INC | $733 | 4% | 765 | 47 | 430 | 37 | 338 | 9 | 346 | 19 | 826 |
627 | MATTEL INC | $4,670 | 11% | 330 | 93 | 811 | 78 | 861 | 5 | 643 | 26 | 569 |
681 | COACHMEN INDUS. INC | $710 | 3% | 808 | 52 | 467 | 17 | 134 | 7 | 451 | 11 | 956 |
714 | MATSU- SHITA ELECTRIC INDUST. CO | $71,314 | 7% | 605 | 79 | 705 | 60 | 670 | 5 | 599 | 30 | 443 |
736 | VIACOM INC | $20,044 | 7% | 582 | 85 | 756 | 58 | 639 | 6 | 545 | 18 | 843 |
855 | HASBRO INC | $3,787 | 6% | 659 | 101 | 845 | 89 | 918 | 4 | 702 | 22 | 700 |
922 | POLAROID CORP | $1,856 | 4% | 754 | 114 | 893 | 89 | 919 | 2 | 934 | 66 | 64 |
988 | K2 INC | $635 | 0% | 950 | 172 | 980 | 79 | 870 | 2 | 937 | 18 | 835 |
321 | Industry Average | $5,086 | 11% | 29 | 28 | 30 | 24 |