Adobe Systems Incorporated (ADBE)

Payables turnover

		Feb 28, 2025	Nov 30, 2024	Nov 29, 2024	Aug 31, 2024	Aug 30, 2024	May 31, 2024	Mar 1, 2024	Feb 29, 2024	Dec 1, 2023	Nov 30, 2023	Sep 1, 2023	Aug 31, 2023	Jun 2, 2023	May 31, 2023	Mar 3, 2023	Feb 28, 2023	Dec 2, 2022	Nov 30, 2022	Sep 2, 2022	Aug 31, 2022
Cost of revenue (ttm)	US$ in thousands	2,408,000	2,340,000	2,364,000	2,338,000	2,416,000	2,496,000	2,490,000	2,480,000	2,428,000	2,366,000	2,304,000	2,292,000	2,280,000	2,276,000	2,272,000	2,250,000	2,228,000	2,199,000	2,170,000	2,136,000
Payables	US$ in thousands	—	—	361,000	—	318,000	—	300,000	—	314,000	—	314,000	—	346,000	—	308,000	—	379,000	—	316,000	—
Payables turnover		—	—	6.55	—	7.60	—	8.30	—	7.73	—	7.34	—	6.59	—	7.38	—	5.88	—	6.87	—

February 28, 2025 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,408,000K ÷ $—K
= —

The payables turnover ratio for Adobe Systems Incorporated fluctuates over time based on the provided data. It measures the efficiency at which the company pays its suppliers. A higher turnover ratio indicates that the company is paying its suppliers more frequently.

In the given data, the payables turnover ratio ranged from 5.88 to 8.30 over the reported periods. It was at its lowest in December 2, 2022, at 5.88 and peaked in March 1, 2024, at 8.30. The average payables turnover ratio during this period was approximately 7.07.

The variability in the payables turnover ratio can be interpreted as changes in the company's payment practices or its relationships with suppliers. A consistently high ratio may indicate that Adobe is efficiently managing its payables by paying suppliers quickly, while a lower ratio may suggest that the company takes longer to pay its obligations.

Overall, analyzing the payables turnover ratio provides insight into Adobe's liquidity management and its ability to effectively manage its working capital and relationships with suppliers.