Days Payable Outstanding

The average number of days a company takes to pay its suppliers and vendors.

Days Payable Outstanding measures how long, on average, a company holds onto cash before paying its bills to suppliers. A higher figure can mean a company is stretching payments to preserve cash, which helps liquidity in the short term but can strain supplier relationships if pushed too far.

Days Payable Outstanding stretched to 75 days, showing the retailer was holding onto cash longer before paying its suppliers.