Lindsay Corporation (LNN)
Number of days of payables
| Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 10.41 | 9.52 | 9.23 | 10.90 | 11.19 | |
| Number of days of payables | days | 35.05 | 38.34 | 39.53 | 33.49 | 32.61 |
August 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 10.41
= 35.05
The number of days of payables for Lindsay Corporation has exhibited some fluctuations over the past five years. In 2023, the number of days of payables decreased to 35.05 days from 38.34 days in 2022. This indicates that the company took fewer days to pay off its accounts payable in 2023 compared to the previous year. Additionally, the 2023 figure was lower than the average of the previous four years, suggesting an improved efficiency in managing payables.
However, it is important to note that the number of days of payables can be influenced by various factors such as the company's payment terms with suppliers, industry practices, and changes in purchasing and inventory management. Therefore, while the decrease in the number of days of payables in 2023 is a positive indication, it should be assessed in conjunction with other financial metrics and qualitative factors to gain a comprehensive understanding of the company's financial performance and liquidity management.
Peer comparison
Aug 31, 2023