Cognizant Technology Solutions Corp Class A (CTSH)

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		49.45	51.64	52.30	49.60	45.72	44.56	45.68	40.74	43.44	43.75	42.68	41.90	37.37	34.47	39.80	48.97	47.62	34.54	22.76	12.17
Number of days of payables	days	7.38	7.07	6.98	7.36	7.98	8.19	7.99	8.96	8.40	8.34	8.55	8.71	9.77	10.59	9.17	7.45	7.67	10.57	16.04	30.00

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 49.45
= 7.38

Cognizant Technology Solutions Corp.'s number of days of payables has shown a general decreasing trend over the past year. In Q4 2023, the company's payables were at 9.71 days, slightly higher than the previous quarter's 9.31 days. However, this figure is lower compared to Q1 2023 and Q4 2022, where the number of days of payables was 9.70 days and 10.56 days, respectively.

It is important to note that Cognizant's number of days of payables has been consistently below 10 days since Q2 2022, indicating that the company typically pays off its obligations within a short timeframe. This suggests efficient management of payables, as the company is able to settle its debts within a relatively quick period.

Overall, Cognizant Technology Solutions Corp.'s number of days of payables reflects a prompt payment cycle, which can potentially improve relationships with suppliers and contribute to strong cash flow management.