Appfolio Inc (APPF)

Payables turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cost of revenue	US$ in thousands	500,283	480,896	426,438	279,023	229,854
Payables	US$ in thousands	2,378	1,141	2,473	1,704	1,040
Payables turnover		210.38	421.47	172.44	163.75	221.01

December 31, 2024 calculation

Payables turnover = Cost of revenue ÷ Payables
= $500,283K ÷ $2,378K
= 210.38

Appfolio Inc's payables turnover ratio has exhibited fluctuations over the years. The data shows that the payables turnover was 221.01 on December 31, 2020, which decreased to 163.75 on December 31, 2021, before increasing to 172.44 on December 31, 2022. Subsequently, there was a significant surge in the payables turnover to 421.47 on December 31, 2023, followed by a slight decrease to 210.38 on December 31, 2024.

The payables turnover ratio measures how efficiently a company is managing its payables by comparing its purchases to its average accounts payable during a period. A higher turnover ratio generally indicates that the company is paying its suppliers more quickly. In the case of Appfolio Inc, the fluctuations in the payables turnover ratio suggest variations in the company's payment practices and relationships with its suppliers over the years. Further analysis and comparison with industry benchmarks would provide more insights into the effectiveness of Appfolio Inc's payables management.