Element Solutions Inc (ESI)
Number of days of payables
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 11.72 | 10.06 | 22.05 | 10.40 | 11.17 | |
| Number of days of payables | days | 31.15 | 36.28 | 16.55 | 35.10 | 32.68 |
December 31, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 11.72
= 31.15
The number of days of payables for Element Solutions Inc. demonstrates notable fluctuations over the analyzed period. As of December 31, 2020, the company had an average payable period of approximately 32.68 days, which increased slightly to 35.10 days by December 31, 2021. This suggests a modest extension in the time the company takes to settle its payables during this period. However, a significant decline is observed in 2022, with the payable days dropping sharply to approximately 16.55 days, indicative of a shorter payment cycle and potentially improved cash management or more prompt payments to suppliers. Following this decline, the payable days increased substantially again to 36.28 days as of December 31, 2023, surpassing the levels observed in 2020 and 2021, and returning to a longer payment cycle. In 2024, the payable period decreased slightly to 31.15 days, though it remained higher than the 2022 figure. Overall, the trend illustrates variability in the company's accounts payable management, with periods of both extended credit and more aggressive payment practices, reflecting potential adjustments to supplier negotiations, liquidity management strategies, or operational priorities over these years.
Peer comparison
Dec 31, 2024