Simulations Plus Inc (SLP)

Number of days of payables

		Aug 31, 2024	Aug 31, 2023	Aug 31, 2022	Aug 31, 2021	Aug 31, 2020
Payables turnover		95.48	80.76	48.10	27.39	30.34
Number of days of payables	days	3.82	4.52	7.59	13.33	12.03

August 31, 2024 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 95.48
= 3.82

Simulations Plus Inc's number of days of payables has shown a decreasing trend over the past five years. As of August 31, 2024, the company takes approximately 3.82 days to settle its payables, which indicates an efficient management of its accounts payable. This trend is an improvement from the 4.52 days in 2023, 7.59 days in 2022, 13.33 days in 2021, and 12.03 days in 2020. The decreasing number of days of payables suggests that Simulations Plus Inc is effectively managing its payment obligations and possibly benefiting from favorable payment terms with its suppliers.