Armstrong World Industries Inc (AWI)
Payables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,688,300 | 1,514,500 | 1,435,400 | 1,357,700 | 1,107,300 |
| Payables | US$ in thousands | 164,200 | 118,300 | 127,400 | 126,100 | 98,000 |
| Payables turnover | 10.28 | 12.80 | 11.27 | 10.77 | 11.30 |
December 31, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $1,688,300K ÷ $164,200K
= 10.28
Armstrong World Industries Inc's payables turnover ratio, which measures the efficiency of the company in paying its suppliers, has shown slight fluctuations over the years. The ratio decreased from 11.30 in December 2020 to 10.77 in December 2021, indicating a longer period for the company to settle its payables. However, there was a subsequent improvement as the ratio increased to 11.27 in December 2022 and further to 12.80 in December 2023, suggesting that the company managed to pay its suppliers more quickly during these periods. In December 2024, the payables turnover ratio decreased to 10.28, indicating a longer payable period compared to the previous year. Overall, the trend in the payables turnover ratio of Armstrong World Industries Inc shows some variability, which may indicate changes in the company's payment practices and relationships with suppliers over the years.
Peer comparison
Dec 31, 2024