Oracle Corporation (ORCL)

Number of days of payables

		May 31, 2025	Feb 28, 2025	Nov 30, 2024	Aug 31, 2024	May 31, 2024	Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	May 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020
Payables turnover		3.31	6.96	6.17	7.33	6.74	9.02	13.12	13.67	11.27	7.60	6.68	6.71	6.74	7.65	8.03	10.79	10.54	9.49	10.71	14.72
Number of days of payables	days	110.26	52.48	59.17	49.78	54.16	40.48	27.83	26.70	32.40	48.05	54.61	54.36	54.16	47.69	45.48	33.84	34.61	38.48	34.09	24.79

May 31, 2025 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 3.31
= 110.26

The analysis of Oracle Corporation's number of days of payables over multiple reporting periods reveals notable fluctuations and trends. Initially, in late 2020, the payable days ranged from approximately 24.79 days in August to 34.09 days in November, indicating relatively prompt payment practices. By early 2021, this measure increased to 38.48 days in February and slightly declined thereafter, maintaining a level around the mid-30s to low 40s through mid-2021.

Starting from late 2021, a clear upward trend emerges, with payable days rising significantly, reaching approximately 54.16 days in mid-2022, which reflects a longer period before disbursing payments to suppliers. This elevated level persisted through late 2022 and into early 2023, with the payables days peaking at 54.61 days in November 2022. A notable decrease occurred in May 2023, dropping to 32.40 days, followed by further reduction to approximately 26.70 days in August 2023, indicating an intent to accelerate payments or improve cash management.

However, the trend then reversed: payable days increased again, reaching nearly 60 days in November 2024. The subsequent forecast for the future period (May 2025) indicates a substantial jump to approximately 110.26 days, suggesting an expected significant delay in settling payables, which could be influenced by strategic financial decisions, liquidity considerations, or supply chain relationships.

Overall, Oracle’s number of days of payables has exhibited variability, with periods of both rapid payment and extended delay. The fluctuations reflect changes in working capital management strategies, supplier negotiations, or broader financial policies, culminating in a marked increase in the most recent projections.