ADMA Biologics Inc (ADMA)

Payables turnover

		Dec 31, 2024	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
Cost of revenue (ttm)	US$ in thousands	206,901	195,502	177,944	171,639	169,273	162,260	151,071	133,774	118,814	105,881	94,743	87,440	79,769	76,009	67,569	62,232	61,291	53,872	49,933	46,928
Payables	US$ in thousands	20,219	16,020	14,179	17,186	15,660	10,851	12,085	12,956	13,229	25,198	11,388	14,115	12,429	17,283	6,167	12,153	11,074	7,980	6,910	9,152
Payables turnover		10.23	12.20	12.55	9.99	10.81	14.95	12.50	10.33	8.98	4.20	8.32	6.19	6.42	4.40	10.96	5.12	5.53	6.75	7.23	5.13

December 31, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $206,901K ÷ $20,219K
= 10.23

ADMA Biologics Inc's payables turnover ratio, a key liquidity metric that indicates how efficiently the company is managing its payables, has shown fluctuations over the periods provided in the data.

The payables turnover ratio measures how many times a company pays off its accounts payable in a given period. A higher payables turnover ratio is generally preferred as it suggests that the company is effectively managing its payments to suppliers.

From March 31, 2020, to December 31, 2024, the payables turnover ratio for ADMA Biologics Inc ranged from a low of 4.20 to a high of 14.95. Notable peaks were observed on June 30, 2023, and September 30, 2023, indicating more efficient management of accounts payable during those periods. Meanwhile, a decrease in efficiency was seen in the payables turnover ratio in the subsequent periods.

It is important to conduct further analysis to understand the reasons behind these fluctuations in the payables turnover ratio and to assess the impact on the company's working capital management and overall financial health.