ITT Inc (ITT)
Number of days of payables
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 5.20 | 4.98 | 5.15 | 5.00 | 5.53 | |
| Number of days of payables | days | 70.20 | 73.31 | 70.88 | 73.06 | 66.04 |
December 31, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 5.20
= 70.20
The number of days of payables for ITT Inc has shown some variation over the past five years. It increased from 66.04 days as of December 31, 2020, to 73.06 days as of December 31, 2021, reflecting a lengthening of the time taken by the company to pay its suppliers. Subsequently, there was a slight decrease to 70.88 days by December 31, 2022, before rising again to 73.31 days by December 31, 2023. The most recent data point as of December 31, 2024, shows a decrease to 70.20 days.
These fluctuations in the number of days of payables can indicate changes in the company's payment policies and its ability to manage its working capital efficiently. A longer number of days of payables may suggest that ITT Inc is taking longer to settle its bills with suppliers, potentially signaling liquidity constraints or strained supplier relationships. Conversely, a shorter number of days of payables may indicate better cash flow management or improved negotiation terms with suppliers.
Overall, monitoring the trend in the number of days of payables can provide insights into ITT Inc's financial health, operational efficiency, and relationships with suppliers.
Peer comparison
Dec 31, 2024