ArcBest Corp (ARCB)
Number of days of payables
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 10.45 | 8.52 | 6.55 | 5.00 | 8.03 | |
| Number of days of payables | days | 34.93 | 42.82 | 55.68 | 73.04 | 45.44 |
December 31, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 10.45
= 34.93
The number of days of payables for ArcBest Corp has shown fluctuations over the years. As of December 31, 2020, the company took approximately 45.44 days to pay its payables on average. This number increased to 73.04 days by December 31, 2021, indicating a potential delay in settling its obligations. However, by December 31, 2022, the number decreased to 55.68 days, suggesting improved efficiency in managing payable obligations.
Subsequently, as of December 31, 2023, the number of days of payables decreased further to 42.82 days, showcasing a more rapid payment cycle. This trend continued, with the company taking only 34.93 days on average to pay its payables by December 31, 2024, indicating a notable improvement in managing its accounts payable.
Overall, the decreasing trend in the number of days of payables from 2021 to 2024 suggests that ArcBest Corp has been enhancing its efficiency in managing payable obligations, potentially improving cash flow management and supplier relationships. It is essential to monitor this ratio to ensure it remains at an optimal level to support the company's financial health and operations.
Peer comparison
Dec 31, 2024