Transdigm Group Incorporated (TDG)
Number of days of payables
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Payables turnover | 10.11 | 9.69 | 9.90 | 10.02 | 8.99 | 8.92 | 8.47 | 8.86 | 8.35 | 9.11 | 9.42 | 10.62 | 10.07 | 11.50 | 10.92 | 11.98 | 11.27 | 10.73 | 10.36 | 10.00 | |
| Number of days of payables | days | 36.09 | 37.68 | 36.88 | 36.44 | 40.60 | 40.90 | 43.10 | 41.20 | 43.71 | 40.05 | 38.76 | 34.36 | 36.24 | 31.74 | 33.42 | 30.47 | 32.39 | 34.01 | 35.23 | 36.51 |
September 30, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 10.11
= 36.09
The number of days of payables for Transdigm Group Incorporated has shown fluctuations over the past few years, ranging from 30.47 days to 43.71 days. The trend in the number of days of payables indicates that the company takes an average of around 35 to 40 days to pay its trade payables.
The data suggests that the company has been managing its payables efficiently, with slight variations in the payment period. A decreasing trend, such as the decline from 43.10 days in March 2023 to 30.47 days in December 2020, may indicate improved liquidity or more prompt payment practices.
Overall, the number of days of payables is an important metric to assess a company's efficiency in managing its working capital and vendor relationships. It is essential for evaluating cash flow management and understanding the company's payment practices.