Stryker Corporation (SYK)

Number of days of payables

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Payables turnover		4.86	4.90	4.86	5.44	6.54
Number of days of payables	days	75.15	74.42	75.06	67.11	55.85

December 31, 2024 calculation

Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 4.86
= 75.15

Stryker Corporation's number of days of payables has shown an increasing trend over the years, from 55.85 days as of December 31, 2020, to 75.15 days as of December 31, 2024. This indicates that the company's average period it takes to pay its suppliers has lengthened over this period.

The upward trajectory in the number of days of payables may signify several possible scenarios. It could suggest a deliberate strategy by Stryker to optimize cash flow by extending payment terms with suppliers, thereby effectively managing its working capital. However, an excessively high number of days of payables might also raise concerns about potential liquidity issues or strained supplier relationships.

Overall, a thorough examination of Stryker Corporation's financial position and operations in conjunction with this metric would be necessary to draw more definitive conclusions about the implications of the increasing number of days of payables.