Advanced Energy Industries Inc (AEIS)
Payables turnover
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,339,280 | 1,380,203 | 1,439,606 | 1,445,511 | 1,421,307 | 1,352,059 | 1,244,423 | 1,184,360 | 1,142,442 | 1,107,343 | 1,119,797 | 1,108,234 | 1,095,842 | 818,605 | 666,036 | 499,452 | 352,237 | 354,655 | 328,233 | 347,087 |
| Payables | US$ in thousands | 141,850 | 140,320 | 149,259 | 185,835 | 170,467 | 219,770 | 197,870 | 183,085 | 193,708 | 190,228 | 206,723 | 162,616 | 125,224 | 159,332 | 180,415 | 167,442 | 170,671 | 210,647 | 37,281 | 44,028 |
| Payables turnover | 9.44 | 9.84 | 9.65 | 7.78 | 8.34 | 6.15 | 6.29 | 6.47 | 5.90 | 5.82 | 5.42 | 6.82 | 8.75 | 5.14 | 3.69 | 2.98 | 2.06 | 1.68 | 8.80 | 7.88 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,339,280K ÷ $141,850K
= 9.44
The payables turnover ratio for Advanced Energy Industries Inc. has been fluctuating over the past 8 quarters. The ratio represents how efficiently the company is managing its payments to suppliers. A higher payables turnover ratio indicates that the company is paying off its suppliers more frequently within a shorter timeframe.
In the most recent quarter of Q4 2023, the payables turnover ratio was 7.50, showing a decrease from the previous quarter. This reduction may imply that the company took longer to pay its suppliers compared to the previous quarter. However, the ratio remains relatively high, indicating that the company is still managing its payables efficiently.
Looking at the historical trend, Advanced Energy Industries Inc. has generally maintained a healthy payables turnover ratio above 5. This suggests that the company has been effectively managing its accounts payables and is working well with its suppliers to maintain adequate payment terms.
Overall, while there have been fluctuations in the payables turnover ratio, Advanced Energy Industries Inc. appears to be effectively managing its payment obligations to suppliers over the analyzed quarters. However, it would be important to monitor future trends to ensure the company maintains its efficient payables management practices.
Peer comparison
Dec 31, 2023