MACOM Technology Solutions Holdings Inc (MTSI)

Number of days of payables

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Payables turnover		7.77	10.52	8.75	9.23	11.28
Number of days of payables	days	46.96	34.70	41.70	39.54	32.36

September 30, 2024 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 7.77
= 46.96

The number of days of payables for MACOM Technology Solutions Holdings Inc has shown a varying trend over the past five years. In 2024, the company took, on average, approximately 46.96 days to pay its suppliers, representing an increase compared to the previous year. This indicates that the company is taking longer to settle its payables, which could impact its relationships with suppliers.

Comparing to 2022 and 2023, where the number of days of payables were 41.70 days and 34.70 days respectively, the increase in 2024 suggests a potential liquidity strain or a change in payment terms with suppliers.

In 2021 and 2020, the number of days of payables were 39.54 days and 32.36 days respectively, indicating a general increasing trend in the time taken by the company to pay its payables. This extended period can be an advantage for the company in managing its working capital effectively by holding onto cash longer but may also strain relationships with suppliers if not managed carefully.

Overall, monitoring the number of days of payables is vital for assessing the efficiency of MACOM Technology Solutions Holdings Inc's working capital management and its relationships with suppliers.