Okta Inc (OKTA)

Number of days of payables

Jan 31, 2025 Jan 31, 2024 Jan 31, 2023 Jan 31, 2022 Jan 31, 2021
Payables turnover 47.54 48.42 45.50 19.82 25.44
Number of days of payables days 7.68 7.54 8.02 18.42 14.35

January 31, 2025 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 47.54
= 7.68

The number of days of payables for Okta Inc. over the period from January 31, 2021, to January 31, 2025, demonstrates notable fluctuations, reflecting changes in the company's accounts payable management and possibly its working capital strategies.

In 2021, the company reported an average of 14.35 days of payables, suggesting that Okta took approximately two weeks to settle its liabilities to suppliers. This figure increased significantly in 2022, reaching 18.42 days, which indicates a tendency towards extending payment periods or delays in disbursing payments relative to the previous year.

However, this trend shifted markedly downward in 2023 to 8.02 days, indicating a substantial reduction in the days taken to pay suppliers. Such a change could imply a strategic tightening of payment cycles, improved cash management, or contractual changes favoring earlier payments.

The subsequent year, 2024, saw a further slight decrease to 7.54 days, maintaining a short payable period and suggesting continued efficiency or strategic focus on prompt settlement of obligations. In 2025, the number of days slightly increased to 7.68 days, but overall, this period remains indicative of a relatively short average payable cycle compared to previous years.

Overall, the trend shows an initial increase in the payable period from 2021 to 2022, followed by a significant reduction in 2023 and sustained short durations in 2024 and 2025. This pattern may reflect changing operational policies, cash flow considerations, or supplier relationship management strategies aimed at optimizing working capital.