Hubbell Inc (HUBB)

Number of days of payables

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Payables turnover		7.83	8.16	7.02	11.06	11.79
Number of days of payables	days	46.60	44.72	51.98	32.99	30.97

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 7.83
= 46.60

Based on the data provided for Hubbell Inc.'s number of days of payables over the past five years, we can observe fluctuations in the efficiency of the company in managing its payables. The number of days of payables indicates the average number of days it takes for the company to pay its suppliers.

In 2023, Hubbell Inc. recorded 59.02 days of payables, representing an increase from the previous year. This suggests that the company took longer to settle its payables in 2023 compared to 2022, which may indicate a less efficient management of supplier payments.

In 2022, the number of days of payables was 55.64 days, showing a slight decrease from 2021. This improvement could indicate that the company was able to manage its payables more effectively in 2022 compared to the prior year.

In 2021, the number of days of payables was 63.92 days, demonstrating an increase from 2020. The higher number of days indicates that the company took longer to pay its suppliers in 2021, potentially impacting its cash flow and relationships with suppliers.

In 2020, Hubbell Inc. reported 46.35 days of payables, showing an increase from 2019. This might suggest that the company extended its payment terms with suppliers, allowing it to hold onto cash for a longer period.

In 2019, the number of days of payables was 39.19 days, indicating a decrease compared to 2020. This could suggest that the company was more efficient in managing its payables in 2019, potentially benefiting from discounts or improving cash flow.

Overall, fluctuations in the number of days of payables for Hubbell Inc. over the past five years highlight the importance of effectively managing supplier payments to optimize cash flow, maintain good supplier relationships, and enhance overall financial performance. Further analysis of the company's payables turnover ratio and working capital management may provide additional insights into its operational efficiency.