Dana Inc (DAN)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 5.85 | 5.50 | 5.48 | 5.28 | 6.64 | |
| Number of days of payables | days | 62.39 | 66.31 | 66.60 | 69.15 | 54.96 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 5.85
= 62.39
The number of days of payables for Dana Inc has fluctuated over the past five years. In 2023, the company's number of days of payables stood at 66.38 days, which indicates that, on average, the company takes approximately 66 days to pay its suppliers. This represents an improvement compared to the previous year, when it took 71.42 days to settle payables.
Looking further back, in 2021 and 2020, the number of days of payables were 70.72 days and 74.91 days, respectively. This suggests that the company was taking longer to settle its payables during those years. In contrast, in 2019, Dana Inc's number of days of payables was 61.17 days, indicating a relatively shorter period for paying suppliers compared to the other years analyzed.
Overall, it is important to monitor Dana Inc's number of days of payables as it can reflect the company's efficiency in managing its accounts payable and cash flow. A decreasing trend in this ratio could signal improved liquidity and cash management practices, while an increasing trend may suggest potential cash flow challenges or changes in payment terms with suppliers.
Peer comparison
Dec 31, 2023