Callaway Golf Company (MODG)
Number of days of payables
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 26.65 | 8.53 | 6.57 | 6.36 | 26.22 | |
| Number of days of payables | days | 13.69 | 42.81 | 55.53 | 57.37 | 13.92 |
December 31, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 26.65
= 13.69
The number of days of payables for Callaway Golf Company has shown fluctuations over the past five years. At the end of 2020, the company had a relatively low number of days of payables at 13.92 days, indicating a quick turnaround in paying its suppliers. However, this metric increased significantly to 57.37 days by the end of 2021, suggesting a potential shift towards a longer payment cycle.
In the subsequent years, Callaway Golf Company managed to reduce its number of days of payables to 55.53 days by the end of 2022 and further decreased to 42.81 days by the end of 2023. This trend indicates an improvement in managing payables and possibly negotiating more favorable payment terms with suppliers.
By the end of 2024, the number of days of payables reverted back to a lower level of 13.69 days, which is similar to the position at the end of 2020. This could imply a return to a more efficient payables management strategy or specific operational changes impacting the payment cycle.
Overall, the fluctuation in the number of days of payables for Callaway Golf Company suggests varying approaches to managing supplier payments and highlights the importance of maintaining a balance between timely payments and optimizing working capital efficiency.
Peer comparison
Dec 31, 2024