Now Inc (DNOW)

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		6.27	5.96	4.88	5.37	5.44	4.63	5.08	4.90	5.49	5.08	5.33	5.72	9.64	12.39	14.20	10.39	9.82	7.58	7.51	7.43
Number of days of payables	days	58.21	61.27	74.81	67.95	67.13	78.91	71.91	74.55	66.49	71.82	68.46	63.87	37.86	29.47	25.71	35.12	37.16	48.17	48.61	49.10

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 6.27
= 58.21

The number of days of payables for NOW Inc has shown some fluctuations over the past eight quarters. In Q4 2023, the company had 58.86 days of payables, which was a decrease from 61.86 days in Q3 2023. This indicates that the company took slightly fewer days to pay its payables in the most recent quarter compared to the previous one.

Looking further back, in Q2 2023, the number of days of payables was 75.49 days, which was higher than both Q4 2023 and Q3 2023. However, the number of days of payables has generally been within a range of 60 to 80 days over the past two years, with some variability.

It is important to note that a lower number of days of payables may indicate that the company is paying its suppliers more quickly, which could be seen as positive in terms of maintaining good relationships and potentially negotiating better terms. Conversely, a higher number of days of payables may suggest that the company is taking longer to pay its suppliers, which could impact relationships and cash flow management.

Overall, the trend in the number of days of payables for NOW Inc shows some variability but generally falls within a typical range for this metric in the industry.