Ford Motor Company (F)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | — | — | — | — | — | |
| Number of days of payables | days | — | — | — | — | — |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ —
= —
Based on the data provided, Ford Motor Co.'s number of days of payables has shown a fluctuating trend over the past five years. The number of days of payables was lowest in 2019 at 56.02 days, then increased steadily to peak at 71.88 days in 2020 before slightly declining in subsequent years. As of December 31, 2023, the number of days of payables stands at 63.02 days.
A lower number of days of payables indicates that Ford is taking fewer days to pay its suppliers, which may suggest efficient working capital management. In contrast, a higher number of days of payables may indicate that Ford is taking longer to pay its suppliers, potentially signaling cash flow constraints or issues with supplier relationships.
It is essential for Ford to closely monitor its number of days of payables to ensure a balance between optimizing cash flow and maintaining healthy supplier relationships. Further analysis would be beneficial to understand the underlying factors driving the changes in this ratio over time and to assess its impact on Ford's overall financial performance and liquidity position.
Peer comparison
Dec 31, 2023