Genuine Parts Co (GPC)
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 | 3.88 | 3.90 | 3.82 | 3.69 | 3.76 | 3.57 | 3.52 | 3.54 | 3.68 | 3.59 | 3.56 | 3.66 | 4.02 | 4.26 | 4.76 | 4.51 | 4.50 | 4.33 | 4.40 | 4.37 | |
| Number of days of payables | days | 94.16 | 93.56 | 95.49 | 98.99 | 96.95 | 102.18 | 103.73 | 103.09 | 99.12 | 101.76 | 102.58 | 99.62 | 90.85 | 85.68 | 76.64 | 80.89 | 81.11 | 84.26 | 83.04 | 83.43 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 3.88
= 94.16
Genuine Parts Co.'s number of days of payables has shown a relatively stable trend over the past eight quarters, ranging between 135.33 days to 148.92 days. The company's ability to pay its suppliers is reflected in the number of days it takes to settle its accounts payable.
From the data provided, we observe a slight decline in the number of days of payables in the most recent quarter, Q4 2023, indicating that the company may be managing its payables more efficiently. This decrease could be a result of improved inventory turnover or renegotiation of payment terms with suppliers.
Overall, Genuine Parts Co.'s consistent management of its payables over the quarters suggests that the company has a stable relationship with its suppliers and is maintaining a healthy balance between managing cash flow and meeting its financial obligations. Further analysis and comparison with industry benchmarks could provide additional insights into the efficiency of the company's payables management.