ANSYS Inc (ANSS)

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	279,819	277,180	273,328	272,313	271,298	262,676	259,386	253,533	250,641	258,191	258,970	260,641	257,984	256,910	247,549	237,251	225,264	206,957	194,937	181,574
Payables	US$ in thousands	27,062	16,394	24,993	27,899	22,772	14,801	14,166	21,938	14,021	17,353	17,304	17,102	10,863	12,590	9,608	16,970	18,691	10,578	10,505	12,571
Payables turnover		10.34	16.91	10.94	9.76	11.91	17.75	18.31	11.56	17.88	14.88	14.97	15.24	23.75	20.41	25.76	13.98	12.05	19.56	18.56	14.44

December 31, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $279,819K ÷ $27,062K
= 10.34

The payables turnover ratio of ANSYS Inc has fluctuated over the past few years, ranging from a low of 9.76 to a high of 25.76. This ratio indicates how efficiently the company is managing its accounts payable by measuring how many times during a period the company pays off its suppliers. A higher turnover ratio generally signifies a more efficient management of payables.

Analyzing the trend, we observe that the payables turnover ratio increased from March 2020 to June 2020 and continued to rise steadily until reaching its peak in June 2021. This period of increasing payables turnover indicates that ANSYS Inc was managing its payables more efficiently during this time.

However, from June 2021 to December 2024, the payables turnover ratio fluctuated, showing some inconsistency in the management of payables. Notably, there was a significant drop in the ratio in December 2023, indicating a potential delay in paying off suppliers during that period.

Overall, it is essential for ANSYS Inc to monitor its payables turnover ratio consistently to ensure efficient management of its accounts payable and maintain good relationships with its suppliers.