Apple Inc (AAPL)

Payables turnover

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019
Cost of revenue (ttm)	US$ in thousands	236,449,000	234,097,000	233,035,000	237,146,000	239,069,000	242,338,000	244,067,000	245,918,000	248,640,000	243,951,000	242,456,000	238,363,000	234,954,000	226,097,000	216,342,000	200,418,000	189,475,000	188,835,000	185,007,000	184,764,000
Payables	US$ in thousands	68,960,000	47,574,000	45,753,000	58,146,000	62,611,000	46,699,000	42,945,000	57,918,000	64,115,000	48,343,000	52,682,000	74,362,000	54,763,000	40,409,000	40,127,000	63,846,000	42,296,000	35,325,000	32,421,000	45,111,000
Payables turnover		3.43	4.92	5.09	4.08	3.82	5.19	5.68	4.25	3.88	5.05	4.60	3.21	4.29	5.60	5.39	3.14	4.48	5.35	5.71	4.10

September 30, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $236,449,000K ÷ $68,960,000K
= 3.43

The payables turnover ratio for Apple Inc has shown fluctuations over the past few years. The ratio has ranged from a low of 3.14 to a high of 5.71, indicating variability in how quickly the company is paying its suppliers.

A higher payables turnover ratio typically suggests that a company is managing its payables efficiently by paying off its suppliers quickly. This can indicate good relationships with suppliers and potentially strong liquidity. On the contrary, a lower ratio may suggest that the company is taking longer to pay its suppliers, which could indicate cash flow issues or strained supplier relationships.

In the most recent period, the payables turnover ratio was 3.43, indicating that Apple Inc took approximately 3.43 times to pay off its accounts payable during that period. It is important to consider trends over time and compare the ratio with industry benchmarks to assess the company's performance in managing its payables effectively.