Arrow Electronics Inc (ARW)
Number of days of payables
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Payables turnover | 2.23 | 2.66 | 2.96 | 3.06 | 2.88 | 3.32 | 3.48 | 3.57 | 3.09 | 3.35 | 3.42 | 3.37 | 3.15 | 3.75 | 3.80 | 3.87 | 3.21 | 3.57 | 3.49 | 3.75 | |
| Number of days of payables | days | 163.71 | 137.07 | 123.13 | 119.09 | 126.93 | 109.81 | 104.84 | 102.25 | 118.25 | 108.85 | 106.69 | 108.37 | 115.95 | 97.44 | 96.01 | 94.25 | 113.70 | 102.18 | 104.64 | 97.36 |
December 31, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 2.23
= 163.71
The number of days of payables for Arrow Electronics Inc has shown fluctuations over the period of March 31, 2020, to December 31, 2024. The trend demonstrates that the company took around 97 to 115 days on average to pay its suppliers during this period.
There was an increase in the number of days of payables from March 31, 2020, reaching a peak of 163.71 days by December 31, 2024. This indicates that Arrow Electronics Inc has been paying its suppliers at a slower pace over time, which could be a sign of either strained cash flow management, negotiation tactics with suppliers or changes in sourcing strategies.
It is essential for the company to monitor its payment terms and relationships with suppliers closely to ensure a balance between maximizing available cash flow and maintaining healthy supplier relationships.
Peer comparison
Dec 31, 2024