Akamai Technologies Inc (AKAM)

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	1,620,793	1,599,834	1,574,103	1,544,490	1,511,063	1,475,634	1,439,009	1,412,383	1,383,819	1,351,254	1,321,670	1,295,021	1,268,956	1,247,400	1,213,973	1,170,777	1,132,672	1,086,575	1,050,074	1,015,463
Payables	US$ in thousands	130,447	106,629	124,507	134,677	146,927	144,466	194,493	202,129	145,420	119,051	131,649	122,934	109,928	98,305	93,465	119,462	118,546	114,850	153,958	114,100
Payables turnover		12.42	15.00	12.64	11.47	10.28	10.21	7.40	6.99	9.52	11.35	10.04	10.53	11.54	12.69	12.99	9.80	9.55	9.46	6.82	8.90

December 31, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,620,793K ÷ $130,447K
= 12.42

Akamai Technologies Inc's payables turnover ratio fluctuated over the past few years, ranging from a low of 6.82 in June 2020 to a high of 15.00 in September 2024. The trend generally shows an improvement in the efficiency of the company in managing its accounts payables. A higher payables turnover ratio indicates that the company is paying its suppliers more frequently within a given period.

The payables turnover ratio for Akamai Technologies Inc increased significantly from June 2021 to December 2024, suggesting that the company may be managing its payable obligations more efficiently. However, there was a slight decline in the ratio from March 2023 to June 2023 before picking up again. This may indicate changes in the company's payment terms or supplier relationships during that period.

Overall, the payables turnover ratio for Akamai Technologies Inc has shown some variability but generally indicates an improvement in managing its accounts payables efficiently over the years, which is a positive sign for the company's financial health.