Granite Construction Incorporated (GVA)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 8.54 | 9.79 | 9.10 | 11.92 | 8.90 | |
| Number of days of payables | days | 42.74 | 37.28 | 40.13 | 30.62 | 41.01 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 8.54
= 42.74
Granite Construction Inc.'s number of days of payables has shown some fluctuations over the past five years. The company's days of payables have ranged from 40.74 days in 2020 to 47.88 days in 2023, indicating that on average, the company takes around 40-48 days to pay its trade payables.
The increase in the number of days of payables from 2020 to 2023 suggests that Granite Construction Inc. may be taking longer to settle its payables, potentially indicating a change in payment policies or cash flow dynamics. It is important to assess the reasons behind this trend, as a significant increase in days of payables could impact the company's relationships with suppliers and its overall working capital management.
Peer comparison
Dec 31, 2023