AGCO Corporation (AGCO)
Number of days of payables
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 13.25 | 10.08 | 7.90 | 9.03 | 9.59 | |
| Number of days of payables | days | 27.55 | 36.23 | 46.22 | 40.44 | 38.08 |
December 31, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 13.25
= 27.55
The number of days of payables for AGCO Corporation has exhibited fluctuations over the five-year period from December 31, 2020, to December 31, 2024.
- As of December 31, 2020, the number of days of payables stood at 38.08 days, indicating that on average, AGCO takes approximately 38 days to pay its trade payables.
- By December 31, 2021, this metric had increased to 40.44 days, suggesting a slight lengthening of the payables period compared to the previous year.
- The trend continued upwards in the following year, with the number of days of payables reaching 46.22 days as of December 31, 2022, reflecting a notable extension in the payment period.
- Subsequently, AGCO managed to reduce its payables period by the end of December 31, 2023, to 36.23 days, indicating a faster turnaround in paying off its trade payables.
- The most significant change occurred by December 31, 2024, where the number of days of payables decreased substantially to 27.55 days, implying that AGCO significantly expedited its payment cycle for trade payables during that period.
Overall, the variations in the number of days of payables for AGCO Corporation demonstrate the company's management of its trade payables and its ability to optimize cash flow by either extending or shortening its payment periods over the years.
Peer comparison
Dec 31, 2024