Topbuild Corp (BLD)
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 | 10.16 | 9.97 | 9.90 | 9.54 | 9.51 | 9.72 | 9.42 | 9.75 | 8.91 | 8.27 | 7.57 | 7.33 | 6.72 | 7.19 | 7.39 | 7.53 | 7.31 | 7.65 | 8.15 | 7.88 | |
| Number of days of payables | days | 35.91 | 36.62 | 36.88 | 38.26 | 38.39 | 37.57 | 38.77 | 37.43 | 40.98 | 44.13 | 48.22 | 49.78 | 54.31 | 50.75 | 49.42 | 48.47 | 49.90 | 47.72 | 44.78 | 46.32 |
December 31, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 10.16
= 35.91
The number of days of payables for Topbuild Corp has exhibited fluctuations over the period from March 31, 2020, to December 31, 2024. The trend shows a general decrease in the number of days of payables from 46.32 days on March 31, 2020, to 35.91 days on December 31, 2024. This indicates that the company has been taking fewer days to pay its suppliers over time.
The metric reached its peak of 54.31 days on December 31, 2021, reflecting a potential delay in payments during that period. However, the subsequent quarters show a downward trend in the number of days of payables, implying improved efficiency in managing payments to suppliers.
The company's ability to manage its payables effectively is crucial in maintaining good relationships with suppliers and optimizing cash flow. The decreasing trend in the number of days of payables suggests that Topbuild Corp has been enhancing its working capital management practices, possibly by negotiating better payment terms or improving internal processes.
Overall, the decreasing trend in the number of days of payables for Topbuild Corp indicates a positive development in the company's financial operations and liquidity management.