American Axle & Manufacturing (AXL)

Payables turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Cost of revenue (ttm)	US$ in thousands	5,935,100	5,836,300	5,776,800	5,642,800	5,550,900	5,451,100	5,145,500	4,975,400	4,936,500	1,170,500	1,263,500	772,200	1,233,100	5,583,200	6,101,100	6,847,500	6,556,600	6,192,100	5,971,400	6,084,900
Payables	US$ in thousands	773,900	811,700	828,400	771,300	734,000	779,600	803,600	754,700	612,800	605,000	647,400	655,400	578,900	622,000	353,200	624,700	623,500	703,700	853,400	882,100
Payables turnover		7.67	7.19	6.97	7.32	7.56	6.99	6.40	6.59	8.06	1.93	1.95	1.18	2.13	8.98	17.27	10.96	10.52	8.80	7.00	6.90

December 31, 2023 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $5,935,100K ÷ $773,900K
= 7.67

American Axle & Manufacturing Holdings Inc's payables turnover has exhibited some fluctuations over the past eight quarters. The payables turnover ratio measures how efficiently a company is managing its accounts payable by examining how many times a company pays off its suppliers in a given period.

Looking at the data provided, we can see that the payables turnover ratio ranged from 5.79 to 7.05 from Q1 2022 to Q4 2023. The highest payables turnover ratio was recorded in Q4 2023 at 7.05, indicating that American Axle & Manufacturing Holdings Inc paid off its suppliers 7.05 times during that quarter. This suggests that the company is effectively managing its accounts payable and is able to quickly settle its bills.

Overall, the trend in payables turnover ratios over the past eight quarters reveals some variability, but the company generally maintained a moderate to high level of efficiency in managing its payables. It is important for the company to continue monitoring and optimizing its payables turnover ratio to ensure optimal cash flow management and relationships with its suppliers.