Chipotle Mexican Grill Inc (CMG)

Number of days of payables

		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	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Payables turnover		31.91	29.29	36.61	31.63	30.68	33.33	34.47	31.30	31.18	27.78	32.70	29.54	34.45	19.02	18.00	22.43	24.45	31.44	36.68	33.17
Number of days of payables	days	11.44	12.46	9.97	11.54	11.90	10.95	10.59	11.66	11.71	13.14	11.16	12.36	10.59	19.19	20.28	16.27	14.93	11.61	9.95	11.01

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 31.91
= 11.44

Chipotle Mexican Grill's number of days of payables has shown some fluctuation over the past eight quarters. In Q2 2023, the number of days of payables was at its lowest point for the period at 21.64 days, indicating that the company takes just over three weeks to pay its outstanding invoices. This suggests that Chipotle is managing its payables efficiently during this period.

However, in Q3 2023, the number of days of payables increased to 27.01 days, which was the highest over the same period. This could indicate a potential slowdown in payments to suppliers during this quarter, possibly due to changes in the company's cash flow position or strategic reasons.

Overall, Chipotle's number of days of payables has been relatively stable, staying within the range of mid-20s days. This suggests that the company has been maintaining a consistent approach to managing its payables, balancing between timely payments and optimizing cash flow.

It's important for investors and stakeholders to continue monitoring Chipotle's payables turnover to assess the company's financial health and its relationship with suppliers.