Snap-On Inc (SNA)
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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Payables turnover | 2.72 | 2.25 | 2.34 | 2.26 | 0.18 | 0.17 | 0.18 | 0.20 | 0.25 | 0.29 | 0.27 | 0.35 | 0.42 | 0.50 | 0.61 | 0.63 | 0.56 | 0.74 | 0.72 | 3.45 | |
| Number of days of payables | days | 134.04 | 162.04 | 156.11 | 161.15 | 1,995.33 | 2,197.92 | 2,039.90 | 1,814.62 | 1,477.03 | 1,280.14 | 1,333.42 | 1,057.78 | 861.85 | 735.71 | 597.21 | 581.90 | 654.49 | 492.89 | 504.07 | 105.93 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 2.72
= 134.04
Snap-On Inc's number of days of payables have shown significant fluctuations over the past few years. In the most recent period, as of December 31, 2023, the company took approximately 134.04 days to pay its creditors on average. This indicates a relatively efficient payment cycle compared to the previous quarter, where it took around 162.04 days.
However, looking back at historical data, there were instances of extremely long payment cycles, such as at the end of 2022 and beginning of 2023, where it took approximately 1,995.33 days and 2,197.92 days, respectively, to settle payables. These prolonged periods may raise concerns about the company's liquidity management and supplier relationships during those times.
On the other hand, there were periods of notably shorter payment cycles, like in the first quarter of 2022 and 2021, where the company paid its obligations in around 581.90 days and 504.07 days, respectively. These shorter cycles suggest efficient cash flow management and potentially stronger bargaining power with suppliers.
Overall, the analysis of Snap-On Inc's number of days of payables reveals fluctuations over time, emphasizing the importance of monitoring payables management for liquidity and operational efficiency.
Peer comparison
Dec 31, 2023