RadNet Inc (RDNT)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 1.01 | 1.04 | 1.08 | 1.31 | 15.55 | |
| Number of days of payables | days | 361.94 | 351.75 | 339.18 | 279.14 | 23.48 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 1.01
= 361.94
The number of days of payables for Radnet Inc has been steadily increasing over the past five years, indicating a longer time taken by the company to pay off its suppliers and vendors. This may suggest a more stretched out payment cycle, potentially impacting vendor relationships and cash flow management.
The trend shows an increase from 23.48 days in 2019 to 32.15 days in 2023, with incremental rises in between. A higher number of days of payables may be due to various reasons such as negotiating longer payment terms with suppliers, managing working capital efficiency, or managing cash flow.
It is essential for the company to monitor and manage its payables effectively to ensure a balance between maintaining good vendor relationships and optimizing cash flow. Evaluating the reasons behind the increasing trend and implementing strategies to improve payables turnover can contribute to a healthier financial position for Radnet Inc in the long run.
Peer comparison
Dec 31, 2023