Fastenal Company (FAST)
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 | 22.07 | 21.03 | 21.95 | 21.21 | 21.72 | 19.50 | 17.88 | 17.28 | 20.59 | 18.15 | 19.27 | 21.17 | 21.79 | 21.17 | 22.81 | 20.40 | 22.20 | 19.70 | 20.41 | 22.11 | |
| Number of days of payables | days | 16.54 | 17.35 | 16.63 | 17.21 | 16.81 | 18.71 | 20.42 | 21.13 | 17.73 | 20.11 | 18.94 | 17.24 | 16.75 | 17.24 | 16.01 | 17.89 | 16.44 | 18.53 | 17.88 | 16.51 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 22.07
= 16.54
The number of days of payables for Fastenal Co. has shown a slight decrease in the most recent quarter, standing at 24.15 days in Q4 2023 compared to 25.36 days in the previous quarter (Q3 2023). This indicates that the company is taking slightly fewer days to pay off its creditors during this period.
Looking at a broader trend, there has been a general downward trend in the number of days of payables over the past year. This suggests that Fastenal Co. has been managing its payables more efficiently over time, potentially negotiating better payment terms with its suppliers or streamlining its payment processes.
Comparing the current number of days of payables to the same quarter in the previous year (Q4 2022), we see a marginal improvement, as the number has decreased from 24.72 days to 24.15 days. This indicates that Fastenal Co. has been able to optimize its payment cycles, possibly leading to improved cash flow management and liquidity.
Overall, the trend of decreasing number of days of payables for Fastenal Co. signals efficient payables management and effective working capital strategies, which may positively impact the company's financial health and operational performance.
Peer comparison
Dec 31, 2023