Simulations Plus Inc (SLP)

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		44.65	42.94	80.76	30.61	30.08	45.11	48.10	25.66	26.19	574.89	27.39	35.20	26.71	31.44	30.34	15.48	15.88	16.18	44.23	42.35
Number of days of payables	days	8.17	8.50	4.52	11.92	12.14	8.09	7.59	14.23	13.94	0.63	13.33	10.37	13.67	11.61	12.03	23.57	22.99	22.56	8.25	8.62

February 29, 2024 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 44.65
= 8.17

The number of days of payables for Simulations Plus Inc has shown some variability over the past few periods. In the latest period ending February 29, 2024, the company took an average of 8.17 days to pay its outstanding payables. This represents a slight decrease compared to the previous period where it took 8.5 days.

Looking back further, the number of days of payables has fluctuated between 4.52 days and 23.57 days over the last few years. This variability could indicate changes in the company's payment practices, cash flow situation, or relationships with suppliers.

It is important to monitor the trends in the number of days of payables as it can provide insights into the efficiency of the company's working capital management and its relationships with suppliers. A lower number of days of payables may indicate a more efficient use of cash, while a higher number may suggest potential liquidity issues or strained supplier relationships.