Ultra Clean Holdings Inc (UCTT)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 7.55 | 7.53 | 5.02 | 9.12 | 6.53 | |
| Number of days of payables | days | 48.32 | 48.46 | 72.69 | 40.00 | 55.88 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 7.55
= 48.32
Ultra Clean Holdings Inc has shown a relatively consistent trend in the number of days of payables over the past five years. The number of days of payables was 48.32 days at the end of 2023, which was slightly lower compared to 48.46 days at the end of 2022. This indicates that the company is taking approximately the same number of days to pay its suppliers.
However, there was a significant increase in the number of days of payables in 2021, standing at 72.69 days, which suggests that the company was taking longer to pay its suppliers during that period. The improvement in paying off its payables in a shorter period in 2020, with only 40.00 days, shows better efficiency in managing its payables.
Overall, the company's number of days of payables has fluctuated over the years but has been within a reasonable range. Efficient management of payables is crucial for maintaining good supplier relationships and managing cash flow effectively.
Peer comparison
Dec 31, 2023