News Corp A (NWSA)
Number of days of payables
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 13.90 | 9.54 | 10.68 | 12.78 | 15.58 | |
| Number of days of payables | days | 26.26 | 38.25 | 34.18 | 28.56 | 23.43 |
June 30, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 13.90
= 26.26
The number of days of payables measures the average number of days a company takes to pay its suppliers. A lower number of days of payables indicates that the company is paying its suppliers more quickly, which could potentially strain liquidity. On the other hand, a higher number of days of payables suggests that the company is taking longer to settle its payables, which could indicate better cash management or negotiated payment terms with suppliers.
Looking at the trend for News Corp A over the past five years, we can observe the following:
- In 2024, News Corp A takes approximately 26.26 days to pay its suppliers, showing a significant improvement from the previous year.
- In 2023, the number of days of payables was 38.25 days, indicating that the company took longer to pay its suppliers compared to the following years.
- The number of days of payables in 2022 was 34.18 days, showing a slight improvement from the previous year.
- In 2021, News Corp A reduced its number of days of payables to 28.56 days, indicating a more efficient payment cycle.
- The lowest number of days of payables in the past five years was in 2020, at 23.43 days, which suggests that the company was able to manage its payables efficiently.
Overall, the decreasing trend in the number of days of payables over the years indicates that News Corp A has been improving its payment cycle, possibly through better cash management or negotiation with suppliers. This trend could reflect positively on the company's liquidity position and ability to manage its working capital effectively.
Peer comparison
Jun 30, 2024