Finance
Working Capital Simulator
Model your cash conversion cycle, size the cash tied up in working capital and simulate cash releasable per lever (DSO / DIO / DPO), with sector benchmarks 2023-2025.
Assumptions
Implied COGS: €350,00M
Current position
Days Sales Outstanding, customer collection period
Days Inventory Outstanding, inventory turnover
Days Payables Outstanding, supplier payment period
Improvement target
Set your DSO / DIO / DPO targets, or align to benchmark. A line already better than the target is never degraded.
Cash valuation
Used to value the recurring saving on released cash
Base for ROIC impact, leave 0 to skip
Working Capital Simulator — report
Date: 24/07/2026 · Sector: Industrial Manufacturing · Revenue: €500,00M
Executive summary
Your cash conversion cycle is 100 j, versus a sector median of 78 j: you are 22 j behind, a pool of cash to capture.
Your targets match your current position: set more ambitious targets or load a benchmark to size the releasable cash.
Recommended actions
- Load the 'sector median' benchmark to quantify the catch-up potential.
Cash conversion cycle
100 j
DSO + DIO − DPO
Net working capital
€122,60M
24,5% of revenue
Cash releasable
€0
one-off, at target
Recurring saving
€0
financing cost / year
CCC improvement
0 j
at target
Target NWC
€122,60M
24,5% of revenue
Net working capital breakdown
| Metric | Current | Target | Cash released |
|---|---|---|---|
| Receivables (Rev × DSO/365) | €89,04M | €89,04M | €0 |
| Inventory (COGS × DIO/365) | €81,51M | €81,51M | €0 |
| − Payables (COGS × DPO/365) | €47,95M | €47,95M | €0 |
| Net working capital | €122,60M | €122,60M | €0 |
Cash-unlock waterfall
Cash released per lever, from current NWC to target NWC
Lever analysis
Ranked by cash released; green = already better than sector median, red = behind
| Lever | Δ days | Cash / day | Cash released | vs median |
|---|---|---|---|---|
| DSO | 0 j | €1,37M | €0 | behind |
| DIO | 0 j | €959k | €0 | behind |
| DPO | 0 j | €959k | €0 | behind |
Sector benchmark comparison
Sector: Industrial Manufacturing. Cash-at-stake = cash unlockable by reaching the median.
| Metric | You | Median | Top-quartile | Gap / median | Cash-at-stake |
|---|---|---|---|---|---|
| DSO | 65 j | 56 j | 42 j | +9 j | €12,33M |
| DIO | 85 j | 74 j | 52 j | +11 j | €10,55M |
| DPO | 50 j | 52 j | 68 j | -2 j | €1,92M |
| CCC | 100 j | 78 j | 26 j | +22 j | — |
Value of the released cash
One-off cash inflow
€0
one-time NWC reduction
Recurring saving / year
€0
released cash × 4,5% after-tax cost of debt
Free cash flow impact
€0
one-off in year 1, then recurring saving
NOPAT held constant, capital employed reduced by €0. Fill invested capital + EBIT margin to enable.
The model follows standard working-capital management conventions.
CCC = DSO + DIO − DPO (in days).Receivables = Revenue × DSO / 365.Inventory = COGS × DIO / 365.Payables = COGS × DPO / 365.Net working capital (NWC) = Receivables + Inventory − Payables.Cash released, DSO = Revenue / 365 × (current DSO − target DSO).Cash released, DIO = COGS / 365 × (current DIO − target DIO).Cash released, DPO = COGS / 365 × (target DPO − current DPO).Recurring saving = released cash × after-tax cost of debt.ROIC = NOPAT / capital employed, with NOPAT = Revenue × EBIT margin × (1 − tax). Released cash reduces capital employed by the same amount, NOPAT held constant.
Data sources
- •The Hackett Group / REL — Working Capital Survey (2023-2024): DSO/DIO/DPO and cash conversion cycle by industry.
- •PwC — Working Capital Study 2024/25 'Managing to the median': working-capital performance quartiles by sector.
- •Deloitte / Ecovis — Cash Conversion Cycle benchmarks (2023-2024) by sector.
- •S&P Capital IQ — public-company aggregates by GICS sector (medians & top-quartile).
- •Hackett/REL 2024, PwC Working Capital Study 2024/25 (Industrial Products)
Indicative estimates for treasury scoping. Benchmarks are sector medians / quartiles, to be reconciled with your management accounts.