Simpson Manufacturing Company Inc (SSD)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 15.49 | 16.25 | 20.15 | 20.14 | 27.60 | |
| Number of days of payables | days | 23.56 | 22.46 | 18.11 | 18.13 | 13.22 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 15.49
= 23.56
Simpson Manufacturing Co., Inc.'s number of days of payables has shown an increasing trend over the past five years, indicating that the company is taking longer to pay off its suppliers. The number of days of payables increased from 18.89 days in 2019 to 33.54 days in 2023. This suggests that the company is managing its accounts payable less efficiently, possibly due to changes in payment terms or cash flow constraints. It would be advisable for management to review their payables processes and address any inefficiencies to optimize working capital management.
Peer comparison
Dec 31, 2023
Company name
Symbol
Number of days of payables
Simpson Manufacturing Company Inc
SSD
23.56
Snap-On Inc
SNA
937.11
Stanley Black & Decker Inc
SWK
51.20