Pentair PLC (PNR)
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 | 9.95 | 10.22 | 9.08 | 9.10 | 8.55 | 7.77 | 7.57 | 6.84 | 6.74 | 7.15 | 7.41 | 7.41 | 8.61 | 6.97 | 7.29 | 7.12 | 5.86 | 7.49 | 7.28 | 7.13 | |
| Number of days of payables | days | 36.67 | 35.71 | 40.19 | 40.10 | 42.67 | 46.96 | 48.23 | 53.35 | 54.19 | 51.07 | 49.29 | 49.23 | 42.39 | 52.35 | 50.07 | 51.23 | 62.27 | 48.75 | 50.11 | 51.20 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 9.95
= 36.67
The number of days of payables for Pentair plc has shown a decreasing trend over the past two years. In Q4 2023, the number of days of payables was 39.38 days, slightly lower compared to the previous quarter at 39.48 days. This indicates that the company takes approximately 39 days to pay its suppliers for goods or services purchased on credit.
Compared to the same quarter in the previous year, Q4 2022, there has been a noticeable improvement as the number of days of payables has decreased from 47.00 days to 39.38 days. This suggests that Pentair plc has been managing its payables more efficiently, potentially negotiating better payment terms with its suppliers or improving its working capital management.
Overall, the decreasing trend in the number of days of payables is a positive indicator of Pentair plc's financial health and effective management of its accounts payable cycle. It shows that the company is able to meet its payment obligations in a timely manner while also potentially optimizing its cash flow and liquidity position.
Peer comparison
Dec 31, 2023