Cardinal Health Inc (CAH)
Number of days of payables
| Jun 30, 2025 | Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Payables turnover | 6.18 | 6.54 | 6.86 | 7.15 | 6.92 | 6.65 | 6.10 | 6.44 | 6.62 | 6.49 | 6.20 | 6.36 | 6.44 | 6.87 | 6.65 | 6.86 | 6.57 | 6.61 | 6.43 | 6.81 | |
| Number of days of payables | days | 59.09 | 55.83 | 53.19 | 51.06 | 52.77 | 54.92 | 59.85 | 56.67 | 55.15 | 56.27 | 58.89 | 57.36 | 56.64 | 53.16 | 54.86 | 53.18 | 55.56 | 55.21 | 56.73 | 53.58 |
June 30, 2025 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 6.18
= 59.09
The analysis of Cardinal Health Inc.'s days payable outstanding (DPO) over the specified period reveals a general trend of fluctuation within a relatively narrow range. Beginning at approximately 53.58 days as of September 30, 2020, the company’s DPO increased gradually, reaching a peak of around 59.85 days on December 31, 2023. This indicates that, on average, the firm took longer to settle its payables during this period, potentially reflecting a strategic extension of payment terms or changes in liquidity management.
Notably, the DPO experienced some variability: it decreased to approximately 51.06 days as of September 30, 2024, suggesting a temporary tightening of payment cycles. Subsequently, it increased again, reaching about 59.09 days by June 30, 2025. This fluctuation within the range of approximately 51 to 60 days suggests active management of payables, likely influenced by operational considerations, supplier relationships, or changes in working capital strategies.
Overall, the trends indicate that the company's accounts payable period has remained relatively stable with modest variations, implying consistent vendor payment policies and a possible balancing act between maintaining good supplier relationships and optimizing cash flow. The slight upward trend towards late 2023 and into mid-2025 suggests a tendency to extend payables slightly over time, which may impact working capital management and liquidity, but does not indicate any drastic shifts in financial policy.
Peer comparison
Jun 30, 2025