Addus HomeCare Corporation (ADUS)
Number of days of payables
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 38.97 | 36.96 | 39.99 | 41.25 | 30.38 | |
| Number of days of payables | days | 9.37 | 9.88 | 9.13 | 8.85 | 12.01 |
December 31, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 38.97
= 9.37
The number of days of payables for Addus HomeCare Corporation has shown a decreasing trend over the five-year period from December 31, 2020, to December 31, 2024.
Specifically, the number of days of payables decreased from 12.01 days as of December 31, 2020, to 9.37 days as of December 31, 2024. This indicates that, on average, the company is taking fewer days to pay its suppliers and vendors for goods and services.
A decreasing number of days of payables can be a positive signal as it may suggest improved liquidity management and stronger relationships with suppliers. However, it is important for the company to strike a balance between timely payments and maintaining positive supplier relationships to ensure the continuity of its operations and supply chain efficiency.
Peer comparison
Dec 31, 2024