Procter & Gamble Company (PG)

Number of days of payables

Jun 30, 2025 Jun 30, 2024 Jun 30, 2023 Jun 30, 2022 Jun 30, 2021
Payables turnover 2.70 2.66 2.93 2.83 2.70
Number of days of payables days 135.02 137.29 124.61 128.85 134.95

June 30, 2025 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 2.70
= 135.02

The analysis of Procter & Gamble Company's accounts payable days over the specified period reveals notable fluctuations in the duration the company takes to settle its payables. As of June 30, 2021, the number of days of payables was approximately 134.95 days, indicating the company generally takes around 135 days to pay its suppliers. This period decreased slightly to 128.85 days by June 30, 2022, suggesting an improvement in accounts payable management or a change in payment policies.

The downward trend persisted into 2023, with the number of days of payables further declining to approximately 124.61 days as of June 30, 2023. This reduction could reflect efforts to improve payment efficiency, renegotiation of payment terms, or shifts in supply chain management strategies.

However, in the subsequent period ending June 30, 2024, there was a noticeable reversal, with the number of days of payables increasing significantly to approximately 137.29 days. This increase suggests a strategic extension of payment terms or potential liquidity or cash flow considerations, allowing the company to delay payments further to its suppliers.

In 2025, the number of days of payables slightly decreased again to around 135.02 days, indicating a possible stabilization of payment practices after the prior extended period. Overall, the data demonstrates a pattern of initial improvement in accounts payable efficiency, followed by a period of extended payment timing, and subsequent stabilization. These fluctuations reflect operational or strategic adjustments by the company concerning its vendor payment policies over the analyzed timeframe.


See also:

Procter & Gamble Company Average Payables Payment Period