Zoetis Inc (ZTS)
Number of days of payables
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 12.14 | 11.64 | 10.52 | 8.93 | 13.12 | |
| Number of days of payables | days | 30.06 | 31.35 | 34.69 | 40.86 | 27.81 |
December 31, 2023 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 12.14
= 30.06
The number of days of payables for Zoetis Inc has been fluctuating over the past five years. The trend indicates that the company has been managing its payables cycle more efficiently in recent years.
The number of days of payables decreased from 81.09 days in 2020 to 58.58 days in 2023, showing a significant improvement in managing its payables. This reduction suggests that Zoetis has been able to negotiate more favorable payment terms with its suppliers or has improved its inventory management, leading to a decrease in the time it takes to pay its suppliers.
Overall, the decreasing trend in the number of days of payables indicates that Zoetis Inc has been more effective in managing its working capital and cash flow by optimizing its payables cycle. This could positively impact the company's liquidity position and financial performance.
Peer comparison
Dec 31, 2023