Verizon Communications Inc (VZ)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 5.78 | 5.16 | 5.14 | 7.34 | 6.12 | |
| Number of days of payables | days | 63.15 | 70.71 | 71.08 | 49.72 | 59.67 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 5.78
= 63.15
Verizon Communications Inc's number of days of payables has shown a fluctuating trend over the past five years. In 2023, the company took, on average, 66.64 days to pay its suppliers, which is an increase compared to the previous year. This indicates that Verizon is taking longer to pay off its trade payables in 2023.
Comparing to the year 2020, the company has shown an increasing trend in the number of days it takes to pay its suppliers. However, the number of days of payables has been relatively stable between 2021 and 2023.
Overall, the rising trend in the number of days of payables may suggest that Verizon is managing its working capital by holding onto cash longer by delaying payment to suppliers. It is essential for investors and analysts to monitor this trend to understand how efficiently Verizon is managing its payables and cash flow.
Peer comparison
Dec 31, 2023