Armstrong World Industries Inc (AWI)

Number of days of payables

		Dec 31, 2024	Sep 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	Dec 31, 2019
Payables turnover		12.74	10.88	13.27	12.74	12.14	11.98	12.55	11.20	10.83	10.44	11.59	10.63	10.75	11.35	12.10	11.19	13.32	14.99	14.91	12.63
Number of days of payables	days	28.66	33.54	27.50	28.65	30.07	30.47	29.09	32.58	33.70	34.95	31.50	34.35	33.95	32.15	30.17	32.62	27.40	24.35	24.48	28.91

December 31, 2024 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 12.74
= 28.66

Armstrong World Industries Inc's number of days of payables has shown some fluctuations over the years as indicated in the data provided. The company's payables turnover, which represents how many days it takes for the company to pay its suppliers, ranged from a low of 24.35 days on June 30, 2020, to a high of 34.95 days on June 30, 2022.

Overall, there seems to be a trend of increasing days of payables from the end of 2019 to mid-2022, after which it started to slightly decrease. This trend suggests that the company may be taking longer to pay its suppliers during that period, which could potentially impact its relationships with suppliers.

It is important for the management of Armstrong World Industries Inc to closely monitor this metric to ensure that payables are managed efficiently and effectively. A longer number of days of payables can sometimes indicate liquidity issues or strained supplier relationships, while a significantly shorter payables turnover may indicate aggressive payment practices. Striking the right balance is key to maintaining healthy cash flow and supplier relationships.