Dentistry and Oral Hygiene

Sector Payment Analysis: Dentistry and oral hygiene

The payment behaviour within the Dentistry and oral hygiene sector demonstrates a reasonably healthy financial ecosystem, characterised by a central tendency that aligns closely with standard commercial expectations. With an average payment time of 30.8 days and a median of exactly 30 days, the data suggests that the majority of businesses in this cohort are organising their working capital to meet a standard net-30 term structure. This close proximity between the mean and the median indicates a balanced distribution, suggesting that the sector is not suffering from skewing caused by a high volume of extreme delinquencies. Furthermore, the fact that 56.3% of the sixteen analysed companies settle their accounts within the 0–30 day window signals a strong culture of prompt payment, likely driven by a desire to maintain robust supply chain relationships and secure favourable terms from vendors.

A more granular review of the distribution reveals distinct tiers of performance amongst the sample group. The top performers are particularly impressive; six companies—representing 37.5% of the sample—manage to pay in fewer than 20 days, with the fastest payer settling accounts in a remarkable 2 days. This efficiency drives the 25th percentile down to 14 days, indicating that a significant portion of the sector is highly liquid and administratively efficient. However, one must analyse the interquartile range of 35 days alongside the standard deviation of 18.8 days. These metrics highlight a notable variability in operational consistency. Whilst the centre of the dataset reflects stability, the gap between the fastest payer (2 days) and the slowest payer (72 days) is substantial, suggesting that suppliers must still exercise due diligence rather than assuming uniform behaviour across the entire sector.

Despite the generally positive outlook, there are pockets of risk that credit controllers must realise and monitor. The data shows that 18.9% of payments are classified as late, and 14.7% of invoices are paid after 60 days. Although it is encouraging that zero companies fall into the critical 90+ day category, the presence of a 'Very Slow' cohort (61–90 days)—representing 6.3% of the sample—indicates that some entities face liquidity challenges or administrative bottlenecks. The 75th percentile sits at 49 days, meaning that one quarter of the sector is pushing payment terms towards the two-month mark. Consequently, whilst the risk of total default appears low given the absence of critical outliers, suppliers may face cash flow gaps when dealing with the bottom quartile of this sector.

Geographically, the analysis displays a heavy concentration in the south of the United Kingdom, with the South West (6 companies) and London (4 companies) comprising the majority of the dataset. This regional bias suggests that the observed payment culture is largely reflective of southern economic conditions. In summary, the Dentistry and oral hygiene sector presents a low-to-moderate risk profile. The majority of firms appear to prioritise timely settlement, yet the standard deviation suggests that payment speed is not guaranteed. Suppliers are advised to incentivise the efficient behaviour seen in the top quartile whilst maintaining rigorous credit control procedures for the minority of firms that drift beyond the 60-day threshold.