Avnet Inc (AVT)
Payables turnover
| Jun 30, 2025 | Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 19,815,790 | 19,711,780 | 19,968,530 | 20,399,930 | 20,990,690 | 21,807,180 | 22,525,630 | 22,960,320 | 23,354,740 | 23,211,170 | 23,183,510 | 22,402,270 | 21,345,310 | 20,334,080 | 19,007,330 | 18,012,070 | 17,294,050 | 16,396,890 | 15,839,410 | 15,691,680 |
| Payables | US$ in thousands | 3,487,420 | 3,319,030 | 3,626,330 | 3,588,030 | 3,345,510 | 3,324,040 | 3,308,060 | 3,445,710 | 3,373,820 | 3,136,860 | 3,106,670 | 3,466,620 | 3,431,680 | 2,968,840 | 2,693,700 | 2,467,740 | 2,401,360 | 2,001,740 | 1,935,660 | 2,005,130 |
| Payables turnover | 5.68 | 5.94 | 5.51 | 5.69 | 6.27 | 6.56 | 6.81 | 6.66 | 6.92 | 7.40 | 7.46 | 6.46 | 6.22 | 6.85 | 7.06 | 7.30 | 7.20 | 8.19 | 8.18 | 7.83 |
June 30, 2025 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $19,815,790K ÷ $3,487,420K
= 5.68
The payables turnover ratio for Avnet Inc displays fluctuations over the analyzed period from September 30, 2020, through June 30, 2025. Initially, the ratio stood at 7.83 times in September 2020, which increased slightly to 8.18 times by the end of December 2020, and remained relatively stable into March 2021 at 8.19 times. This suggests that during this period, the company maintained a consistent pace in paying its suppliers, with a modest improvement in the latter part of 2020 and the first quarter of 2021.
Subsequently, a declining trend emerges starting around June 2021, with the ratio decreasing to 7.20 times by June 2021. This downward trend persisted through 2022, with the ratio falling to 6.22 times by June 2022 and slightly increasing to 6.46 times by September 2022. The ratio exhibits a degree of stability during the latter half of 2022 and the early months of 2023, reaching approximately 7.40 times in March 2023.
Post-March 2023, the trend continues downward, with the ratio decreasing to 6.92 times in June 2023 and further to 6.66 times in September 2023. A slight rebound is observed at the end of 2023, with the ratio rising slightly to 6.81 times in December 2023. The first quarter of 2024 shows a modest decline to 6.56 times, followed by a further decrease to 6.27 times in June 2024.
Looking into the subsequent months, the ratio drops more notably in the second half of 2024, reaching a low of 5.51 times in December 2024. During early 2025, a marginal increase occurs, with the ration at 5.94 times in March 2025 before slightly decreasing again to 5.68 times by June 2025.
Overall, the payables turnover ratio exhibits a gradual declining trend over the analyzed period, indicating that Avnet Inc is paying its suppliers less frequently or allowing longer payment periods as time progresses. This pattern could reflect strategic changes in payment policies, cash flow management, or supply chain negotiations. The ratio's decline from over 8 times to approximately 5.7 times suggests a lengthening of the average accounts payable period, which could have implications for supplier relationships and short-term liquidity management.
Peer comparison
Jun 30, 2025