Monolithic Power Systems Inc (MPWR)

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	Mar 31, 2019	Dec 31, 2018
Payables turnover		12.71	12.20	11.08	13.43	12.13	8.85	8.07	7.93	6.29	6.71	7.86	7.30	9.92	7.25	6.83	7.63	10.37	9.20	9.74	11.45
Number of days of payables	days	28.73	29.92	32.94	27.17	30.09	41.26	45.24	46.01	58.02	54.38	46.41	50.03	36.81	50.33	53.46	47.82	35.21	39.68	37.49	31.87

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 12.71
= 28.73

Monolithic Power System Inc's number of days of payables has shown some fluctuations over the past eight quarters. In Q4 2023, the number of days of payables was 28.73 days, a decrease from the previous quarter's 29.92 days. This indicates that the company took slightly fewer days to pay its suppliers in Q4 2023.

Comparing the data with the same quarter in the previous year, there has been a general trend of decreasing days of payables, suggesting that the company has been more efficient in managing its accounts payable over time.

It is worth noting that in Q2 and Q3 of 2022, the number of days of payables spiked to 45.24 days and 46.01 days respectively, which might indicate delayed payments to suppliers during those periods. However, the company managed to reduce the number of days of payables in the following quarters.

Overall, a lower number of days of payables indicates that Monolithic Power System Inc is effective in managing its accounts payable and maintaining good relationships with its suppliers by paying them in a timely manner.