Novanta Inc (NOVT)
Number of days of payables
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Payables turnover | 9.81 | 10.68 | 10.03 | 9.82 | 12.04 | 10.80 | 10.79 | 10.52 | 9.08 | 8.54 | 8.38 | 8.51 | 8.55 | 8.26 | 9.47 | 9.51 | 11.35 | 12.33 | 11.10 | 10.82 | |
| Number of days of payables | days | 37.22 | 34.17 | 36.41 | 37.17 | 30.32 | 33.80 | 33.84 | 34.70 | 40.21 | 42.73 | 43.54 | 42.91 | 42.67 | 44.21 | 38.53 | 38.39 | 32.16 | 29.60 | 32.89 | 33.74 |
December 31, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 9.81
= 37.22
Novanta Inc's number of days of payables has shown fluctuating trends over the period from March 31, 2020, to December 31, 2024. The metric measures how long it takes the company to pay its suppliers and is calculated by dividing accounts payable by the cost of goods sold and then multiplying by 365.
The number of days of payables ranged from a low of 29.60 days on September 30, 2020, to a high of 44.21 days on September 30, 2021. Generally, a higher number of days of payables indicates that the company is taking longer to pay its suppliers, which may suggest a weaker bargaining position or potential liquidity issues.
It is important to note that changes in the number of days of payables can be influenced by various factors such as changes in payment terms with suppliers, company's inventory management practices, and overall economic conditions affecting the industry.
Analyzing this metric over time can provide insights into Novanta Inc's working capital management efficiency, cash flow dynamics, and relationships with its suppliers. Investors and stakeholders can use this information to evaluate the company's financial health and operational performance.
Peer comparison
Dec 31, 2024