Advance Auto Parts Inc (AAP)
Number of days of payables
| Dec 31, 2023 | Oct 7, 2023 | Jul 15, 2023 | Apr 22, 2023 | Dec 31, 2022 | Oct 8, 2022 | Apr 23, 2022 | Dec 31, 2021 | Oct 9, 2021 | Jul 17, 2021 | Apr 24, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jul 11, 2020 | Apr 18, 2020 | Dec 31, 2019 | Oct 5, 2019 | Jul 13, 2019 | Apr 20, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Payables turnover | 2.68 | 2.74 | 2.77 | 3.01 | 2.46 | 2.54 | 2.61 | 2.60 | 2.70 | 2.63 | 2.63 | 2.58 | 2.60 | 2.72 | 2.71 | 2.65 | 2.69 | 2.75 | 2.79 | 2.86 | |
| Number of days of payables | days | 135.95 | 133.32 | 131.79 | 121.08 | 148.46 | 143.93 | 139.94 | 140.48 | 135.29 | 138.79 | 138.55 | 141.54 | 140.50 | 133.97 | 134.89 | 137.77 | 135.80 | 132.67 | 131.05 | 127.74 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 2.68
= 135.95
The number of days of payables for Advance Auto Parts Inc has shown fluctuations over the years. The most recent data as of December 31, 2023, indicates that the company takes approximately 135.95 days to pay its payables. This suggests that on average, the company takes around 4.5 months to pay its outstanding obligations to suppliers and creditors.
Analyzing the trend over the past few years, there is a general pattern of variability in the number of days of payables, with some periods showing higher values (e.g., 148.46 days in December 31, 2022) and others lower values (e.g., 121.08 days in April 22, 2023). This indicates that the company's payment practices may be influenced by various factors such as economic conditions, industry trends, and internal financial management strategies.
Overall, monitoring the number of days of payables can provide insights into Advance Auto Parts Inc's liquidity, cash flow management, and relationships with suppliers. A higher number of days of payables may indicate potential cash flow challenges or bargaining power with suppliers, while a lower number may suggest efficient working capital management. It is important for investors and stakeholders to consider this ratio in conjunction with other financial metrics to assess the company's financial health comprehensively.
Peer comparison
Dec 31, 2023