Itron Inc (ITRI)
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 | 9.20 | 7.89 | 7.17 | 6.77 | 6.83 | 7.29 | 10.51 | 8.74 | 9.31 | 9.20 | 10.37 | 10.17 | 8.95 | 8.75 | 8.53 | 6.56 | 6.61 | 6.76 | 6.57 | 6.26 | |
| Number of days of payables | days | 39.68 | 46.27 | 50.88 | 53.89 | 53.46 | 50.09 | 34.72 | 41.74 | 39.20 | 39.66 | 35.19 | 35.88 | 40.78 | 41.69 | 42.77 | 55.60 | 55.25 | 53.98 | 55.58 | 58.33 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 9.20
= 39.68
To analyze Itron Inc.'s number of days of payables over the past eight quarters, we observe a fluctuating trend in the average number of days it takes for the company to pay its accounts payable suppliers.
In Q4 2023, the number of days of payables decreased to 49.89 days compared to the previous quarter. This suggests that Itron Inc. has been able to manage its payables more efficiently during this period.
However, in the two previous quarters (Q2 and Q1 2023), the number of days of payables increased to 64.33 days and 70.28 days, respectively. This indicates a potential delay in paying suppliers during these quarters, which could be a concern for the company's liquidity management.
Comparing the current Q4 2023 with the same quarter of the previous year, we notice an improvement from 67.98 days to 49.89 days. This positive trend suggests that Itron Inc. has made strides in enhancing its accounts payable management practices over the past year.
It is essential for Itron Inc. to strike a balance in managing its payables efficiently to maintain good relationships with suppliers while also ensuring optimal cash flow and liquidity for the company. Monitoring and analyzing the number of days of payables on a consistent basis will be crucial for evaluating the company's financial health and operational efficiency.
Peer comparison
Dec 31, 2023