Sitime Corporation (SITM)

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
Payables turnover		7.12	5.38	7.83	11.11	6.76	6.11	4.47	7.01	6.06	5.78	6.98	7.00	9.42	7.18
Number of days of payables	days	51.24	67.85	46.59	32.86	53.97	59.71	81.59	52.09	60.27	63.19	52.26	52.13	38.75	50.83

December 31, 2023 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 7.12
= 51.24

The number of days of payables for SiTime Corp has fluctuated over the past eight quarters, ranging from a low of 32.86 days in Q1 2023 to a high of 81.59 days in Q2 2022. The average number of days of payables over this period is approximately 55.92 days.

A decrease in the number of days of payables indicates that the company is taking longer to pay its suppliers, which may be a sign of improved liquidity or negotiations with suppliers for more favorable payment terms. On the other hand, an increase in the number of days of payables suggests that the company is taking longer to pay its suppliers, potentially facing cash flow constraints or difficulties in managing working capital efficiently.

Overall, monitoring trends in the number of days of payables can provide insight into SiTime Corp's management of working capital, cash flow dynamics, and relationship with suppliers.