Pool Corporation (POOL)
Number of days of payables
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
---|---|---|---|---|---|---|
Payables turnover | 7.63 | 10.44 | 9.23 | 10.52 | 8.68 | |
Number of days of payables | days | 47.83 | 34.96 | 39.56 | 34.70 | 42.04 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 7.63
= 47.83
The number of days of payables for Pool Corporation has fluctuated over the past five years. In 2023, the company took approximately 47.83 days to pay its suppliers, which is an increase compared to the previous year. This indicates that Pool Corporation is taking longer to settle its payables, potentially signaling a strain on its cash flow or a deliberate extension of payment terms to suppliers.
Compared to 2021 and 2019, where the number of days of payables was around 39 to 42 days, the current figure of 47.83 days is relatively higher, suggesting a potential shift in the company's cash management practices. It is important for Pool Corporation to monitor its payables closely to ensure that it maintains healthy relationships with its suppliers while effectively managing its working capital.