PriceSmart Inc (PSMT)
Number of days of payables
| 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 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Payables turnover | 1.17 | 1.11 | 1.25 | 1.32 | 1.32 | 1.16 | 1.26 | 1.29 | 1.32 | 1.08 | 1.25 | 3.02 | 3.01 | 2.60 | 2.66 | 3.48 | 3.50 | 2.97 | 3.39 | 3.53 | |
| Number of days of payables | days | 312.44 | 328.67 | 292.60 | 277.17 | 276.74 | 313.42 | 290.61 | 282.95 | 276.07 | 338.30 | 291.37 | 120.92 | 121.41 | 140.26 | 137.24 | 104.85 | 104.14 | 123.10 | 107.64 | 103.41 |
February 29, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 1.17
= 312.44
Based on the data provided, the number of days of payables for PriceSmart Inc has shown fluctuations over the recent quarters. The number of days of payables indicates the average number of days it takes for the company to pay its suppliers or vendors.
The trend in the number of days of payables for PriceSmart Inc has varied significantly, ranging from as low as 104.14 days to as high as 338.30 days. This suggests that the company's payment practices have been inconsistent over time.
In the most recent period, as of February 29, 2024, PriceSmart Inc had an average number of days of payables of 312.44 days. This indicates that, on average, the company takes approximately 312 days to pay its trade payables.
Furthermore, it is important to monitor changes in the number of days of payables as it can provide insights into the company's cash flow management and relationship with suppliers. A longer number of days of payables may indicate that the company is managing its cash flow efficiently but could also signal potential liquidity issues or strained supplier relationships. Conversely, a shorter number of days of payables may suggest strong cash reserves but could also lead to strained relationships with suppliers.
Overall, analyzing the number of days of payables can provide valuable information about how effectively PriceSmart Inc is managing its working capital and relationships with its suppliers.
Peer comparison
Feb 29, 2024