Owens Corning Inc (OC)
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 | 4.48 | 4.65 | 4.57 | 4.46 | 4.11 | 5.02 | 4.83 | 4.64 | 5.40 | — | — | — | 5.65 | — | — | — | 6.81 | — | — | — | |
| Number of days of payables | days | 81.44 | 78.46 | 79.92 | 81.88 | 88.84 | 72.65 | 75.53 | 78.60 | 67.62 | — | — | — | 64.55 | — | — | — | 53.59 | — | — | — |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 4.48
= 81.44
To analyze Owens Corning's number of days of payables, we observe a decreasing trend from Q1 2022 to Q4 2023. The number of days of payables reduced from 74.15 days in Q1 2022 to 63.46 days in Q4 2023. This trend indicates that Owens Corning has been taking fewer days to pay off its payables over the quarters, which could imply improved liquidity or better management of its accounts payable.
On average, Owens Corning took around 63-68 days to settle its payables throughout 2022, with the number of days generally decreasing in 2023. The decline in the number of days of payables may suggest that the company is becoming more efficient in managing its cash flow and supplier relationships.
Overall, a decreasing trend in the number of days of payables can be seen as a positive sign for Owens Corning's financial health, as it may indicate better working capital management and potentially stronger supplier negotiations.