Asbury Automotive Group Inc (ABG)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 77.42 | 83.67 | 48.42 | 60.54 | 73.95 | |
| Number of days of payables | days | 4.71 | 4.36 | 7.54 | 6.03 | 4.94 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 77.42
= 4.71
Asbury Automotive Group Inc's number of days of payables has fluctuated over the past five years. In 2023, the company took approximately 4.71 days to pay its outstanding liabilities to suppliers, which is slightly higher than the 4.36 days in 2022. The increase in days payables in 2023 may indicate a slightly slower payment process to suppliers compared to the previous year.
However, the number of days payables in 2023 is lower compared to the 7.54 days in 2021, and the 6.03 days in 2020. This suggests that Asbury Automotive Group Inc has improved its efficiency in managing its payables and is settling its obligations to suppliers more quickly in 2023.
Compared to 2019, where the number of days of payables was 4.94 days, the figure in 2023 reflects a slight improvement in the company's ability to manage its payables efficiently.
Overall, a lower number of days of payables implies that the company is paying its suppliers more quickly, potentially enhancing relationships with suppliers and maintaining a healthy working capital position.
Peer comparison
Dec 31, 2023