American States Water Company (AWR)

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 2.01 2.29 2.38 2.44 2.46 2.24 2.24 2.43 1.90 2.31 2.28 2.45 2.44 2.48 2.55 2.89 2.59 3.27 3.18 3.67
Number of days of payables days 181.48 159.42 153.15 149.70 148.31 163.04 162.75 150.49 192.40 158.14 160.11 149.21 149.39 147.02 142.91 126.09 141.08 111.60 114.60 99.40

December 31, 2024 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 2.01
= 181.48

The number of days of payables for American States Water Company has displayed fluctuations over the years. The trend shows an increase from 99.40 days as of March 31, 2020, to a peak of 192.40 days by December 31, 2022. This sharp increase may indicate a delay in the company's payment to suppliers, potentially impacting relationships and liquidity.

Subsequently, there was a slight decrease in the number of days of payables to 148.31 days by December 31, 2023, but the metric remained elevated compared to earlier periods. The figure stabilized around 150 days in the following periods, indicating a potential effort by the company to manage payables more effectively.

Overall, the elevated number of days of payables suggests that American States Water Company may have been utilizing supplier credit effectively during the analyzed period. However, such an extended payment period could also signal financial stress or operational inefficiencies within the company. Further analysis of the company's financial health and working capital management practices would be beneficial to fully understand the implications of this trend.