Emerson Electric Company (EMR)
Number of days of payables
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Payables turnover | 11.91 | 11.92 | 11.47 | 11.27 | 10.06 | 11.18 | 12.11 | 12.74 | 12.86 | 7.91 | 7.76 | 7.45 | 7.34 | 7.64 | 8.08 | 8.44 | 8.41 | 10.32 | 10.02 | 9.46 | |
| Number of days of payables | days | 30.64 | 30.61 | 31.82 | 32.38 | 36.28 | 32.66 | 30.13 | 28.64 | 28.38 | 46.15 | 47.04 | 49.01 | 49.73 | 47.79 | 45.18 | 43.22 | 43.43 | 35.35 | 36.44 | 38.57 |
September 30, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 11.91
= 30.64
Emerson Electric Company's number of days of payables has shown some fluctuations over the past few quarters. The trend indicates that the company is taking an average of around 30 to 35 days to pay off its trade payables.
The number of days of payables was at its lowest point in March 2021 at 43.22 days, and then decreased further to a low of 28.38 days by September 2022. However, it increased significantly to 49.73 days by December 2022 before decreasing again.
Overall, a lower number of days of payables suggests that the company is managing its payables efficiently, potentially taking advantage of supplier discounts and improving cash flow. Conversely, a higher number of days of payables could indicate liquidity issues or challenges in managing working capital effectively.
It would be prudent to continue monitoring this metric to assess the company's ability to maintain stable and efficient payables management practices.
Peer comparison
Sep 30, 2024
See also:
Emerson Electric Company Average Payables Payment Period (Quarterly Data)