Dorman Products Inc (DORM)
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 | 9.14 | 10.55 | 10.62 | 10.68 | 8.85 | 7.43 | 6.93 | 7.90 | 6.76 | 7.35 | 8.32 | 8.43 | 8.36 | 8.40 | 10.96 | 12.67 | 10.06 | 11.24 | 8.65 | 8.69 | |
| Number of days of payables | days | 39.93 | 34.61 | 34.37 | 34.18 | 41.25 | 49.13 | 52.64 | 46.21 | 54.03 | 49.69 | 43.86 | 43.31 | 43.64 | 43.43 | 33.31 | 28.81 | 36.29 | 32.48 | 42.17 | 42.01 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 9.14
= 39.93
Dorman Products Inc's number of days of payables has shown a decreasing trend over the past two years, indicating the company's ability to manage its payables more efficiently. In Q4 2023, the number of days of payables was 51.82 days, down from 56.13 days in Q4 2022. This suggests that the company is taking longer to pay its suppliers, potentially freeing up cash for other uses in the short term.
The downward trend in the number of days of payables from Q4 2022 to Q4 2023 could be attributed to the company negotiating better payment terms with its suppliers or improving its cash flow management practices.
It is worth noting that the number of days of payables fluctuated throughout the quarters in 2022 and 2023, but the overall trend shows a decrease in the time it takes for Dorman Products Inc to pay its suppliers. This improvement in managing payables could positively impact the company's working capital management and overall financial health.
Peer comparison
Dec 31, 2023