Adobe Systems Incorporated (ADBE)
Payables turnover
| Nov 29, 2024 | Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 2,358,000 | 2,354,000 | 2,165,000 | 1,865,000 | 1,722,000 |
| Payables | US$ in thousands | 361,000 | 314,000 | 379,000 | 312,000 | 306,000 |
| Payables turnover | 6.53 | 7.50 | 5.71 | 5.98 | 5.63 |
November 29, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $2,358,000K ÷ $361,000K
= 6.53
The payables turnover ratio for Adobe Systems Incorporated has shown a fluctuating trend over the years, indicating the company's ability to efficiently manage its accounts payable.
In November 27, 2020, the payables turnover ratio was 5.63, which implies that Adobe turned over its accounts payable approximately 5.63 times during that period. The ratio increased to 5.98 by December 3, 2021, suggesting a slight improvement in the company's payment efficiency.
However, by December 2, 2022, the payables turnover ratio decreased to 5.71, possibly indicating a longer payment cycle or changes in vendor relationships. Subsequently, there was a significant improvement in payment efficiency as of December 1, 2023, with the ratio reaching 7.50, indicating that Adobe was able to pay off its suppliers more frequently during that period.
The trend continued in November 29, 2024, with a payables turnover ratio of 6.53, reflecting a stable and efficient accounts payable management by Adobe Systems Incorporated. Overall, the company's payables turnover ratios demonstrate a mix of fluctuations and improvements, suggesting various factors influencing its payment cycle efficiency over the years.
Peer comparison
Nov 29, 2024