Autoliv Inc (ALV)

Number of days of payables

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Payables turnover		4.63	4.76	4.68	4.86	4.66	5.13	5.63	5.21	6.34	7.00	6.76	5.76	5.47	7.01	10.42	8.30	7.91	8.30	7.80	7.80
Number of days of payables	days	78.87	76.60	78.03	75.13	78.39	71.17	64.85	70.03	57.54	52.17	53.96	63.42	66.76	52.04	35.02	44.00	46.14	43.95	46.80	46.79

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 4.63
= 78.87

Autoliv Inc.'s number of days of payables has shown some fluctuations over the past eight quarters. In Q4 2023, the company had 83.43 days of payables, which was an increase compared to the previous quarter (Q3 2023) where it was 81.03 days. This trend of increasing days of payables is also evident when comparing Q4 2023 to the same quarter in the previous year (Q4 2022) where it was 82.99 days.

Looking further back, there has been a general upward trend in the number of days of payables over the past year. Comparing Q4 2023 to Q1 2022, there has been an increase from 79.54 days to 83.43 days. This indicates that Autoliv Inc. is taking longer to pay its suppliers, which could potentially help improve the company's cash flow and liquidity position in the short term.

However, a prolonged increase in the number of days of payables may also indicate potential strains on supplier relationships or difficulties in managing working capital efficiently. It would be important for Autoliv Inc. to monitor this trend closely and ensure that it strikes the right balance between extending payables for cash flow benefits and maintaining strong supplier partnerships.