Mercer International Inc (MERC)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 29.54 | 19.43 | 22.87 | 24.24 | 18.77 | |
| Number of days of payables | days | 12.36 | 18.78 | 15.96 | 15.06 | 19.44 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 29.54
= 12.36
The number of days of payables for Mercer International Inc. has shown a decreasing trend over the past five years. In 2023, the company took approximately 18.83 days to pay its suppliers, which is lower compared to the previous years. This suggests that Mercer International Inc. has been managing its payables more efficiently, possibly negotiating better payment terms with suppliers or improving its working capital management processes. Overall, the decreasing trend in the number of days of payables indicates a positive financial health for the company in terms of managing its obligations to suppliers.