Lennox International Inc (LII)
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 | 9.17 | 9.96 | 7.27 | 7.71 | 8.04 | 7.75 | 6.57 | 6.73 | 7.48 | 7.30 | 7.16 | 7.27 | 7.62 | 7.18 | 8.80 | 7.60 | 7.32 | 6.89 | 5.71 | 6.68 | |
| Number of days of payables | days | 39.82 | 36.66 | 50.23 | 47.34 | 45.42 | 47.10 | 55.56 | 54.25 | 48.83 | 49.97 | 50.96 | 50.22 | 47.88 | 50.82 | 41.49 | 48.05 | 49.84 | 52.94 | 63.95 | 54.67 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 9.17
= 39.82
Lennox International Inc's number of days of payables has exhibited fluctuations over the past eight quarters. In Q4 2023, the number of days of payables stood at 39.83 days, showing a decrease from the previous quarter. This suggests that the company took fewer days to pay its suppliers in Q4 2023 compared to Q3 2023.
Analyzing further, the number of days of payables was relatively lower in Q4 2023 compared to the same quarter of the previous year, indicating a possible improvement in managing payables.
On a broader trend, Q2 2022 saw a peak in the number of days of payables at 55.56 days, which has since decreased gradually over the subsequent quarters. This downward trend may suggest more efficient cash management or negotiation of better payment terms with suppliers by Lennox International Inc.
Overall, monitoring the fluctuations in the number of days of payables provides insights into the company's liquidity management and working capital practices, highlighting areas where improvements may have been made or where attention may be needed.
Peer comparison
Dec 31, 2023