No Match Found
Supply chain disruption is easing, but with finance still costly and difficult to secure, our analysis of 17,000 global corporations shows that working capital is still at the top of the agenda. And while large corporations are harnessing their tech-enabled management capabilities to optimise working capital, most small and mid-sized companies are still behind the curve.
Net working capital (NWC) falls by 1.1 days (2.6%)
The EU is leading the way with a 2.6-day improvement in NWC days
Days sales outstanding (DSO) down 3.1 days and days payables outstanding (DPO) down 4.5 days
Our analysis shows a further €1.5tn of excess working capital available
Against a backdrop of rising inflation, global revenues have continued to grow, adding to the recovery seen in 2021. Largely in line with this revenue growth, we’ve seen a continued build‑up of nominal working capital, though input costs are also increasing. Companies have managed to keep this parallel growth in their favour, resulting in a decrease of 1.1 days of cash tied up in NWC. But looking below the surface, a more mixed picture emerges.
PwC’s operational and specialist Working Capital team supports company management to realise cash improvements at pace, improve operational processes, deploy supporting technology, and drive organisational transformation.