Hewlett Packard Enterprise Co (HPE)
Number of days of payables
| Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | Oct 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 0.87 | 0.77 | 0.81 | 1.20 | 1.15 | |
| Number of days of payables | days | 420.44 | 476.37 | 448.27 | 305.00 | 317.01 |
October 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 0.87
= 420.44
The number of days of payables for Hewlett Packard Enterprise Co has shown fluctuations over the past five years. In 2023, the company had 140.69 days of payables, which was a decrease from 170.33 days in 2022. This indicates that the company took fewer days to pay its suppliers in 2023 compared to the previous year. However, when compared to 2021, the number of days of payables in 2023 remained relatively consistent.
In 2020, the number of days of payables increased to 107.71 days, but this was still lower than the 105.57 days observed in 2019. The trend in payables suggests that the company improved its management of supplier payments from 2020 to 2023, but there were fluctuations in the intermediate years.
A lower number of days of payables may imply more efficient management of working capital, but it could also potentially signal challenges in negotiating favorable payment terms with suppliers. Conversely, a higher number of days of payables could indicate a relaxation in payment schedules, which may benefit cash flow in the short term but could strain relationships with suppliers in the long run. Considering these factors, it is important to assess the company's payables management in conjunction with other financial metrics to gain a comprehensive understanding of its financial performance and management efficiency.
Peer comparison
Oct 31, 2023
See also:
Hewlett Packard Enterprise Co Average Payables Payment Period