Ingevity Corp (NGVT)

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	Jun 30, 2019	Mar 31, 2019
Payables turnover		10.18	7.31	7.09	7.87	7.64	7.75	7.09	8.86	8.68	8.28	8.69	8.51	9.07	11.04	12.33	9.57	10.39	9.47	8.52	7.86
Number of days of payables	days	35.86	49.94	51.51	46.38	47.77	47.09	51.49	41.19	42.05	44.08	41.98	42.91	40.26	33.07	29.61	38.15	35.13	38.55	42.84	46.45

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 10.18
= 35.86

Ingevity Corp's number of days of payables has fluctuated over the past eight quarters. In Q4 2023, the company had an average of 47.38 days of payables, indicating that it takes approximately 47 days for the company to pay its creditors. This represents an improvement compared to the previous quarter where the number of days of payables was 60.71 days.

The trend in the number of days of payables shows a decrease in the latest quarter, which could be a positive sign as it suggests that the company is managing its payables more efficiently. This improvement may indicate that Ingevity Corp is able to negotiate better payment terms with its suppliers or streamline its payment processes.

It is important to monitor this metric over time to understand if the company is able to sustain this improvement and manage its working capital effectively. Overall, a lower number of days of payables suggests that the company is managing its payable obligations efficiently, which can have a positive impact on its cash flow and liquidity position.