Axon Enterprise Inc. (AXON)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	1,109,680	872,172	840,378	575,258	440,033
Payables	US$ in thousands	88,326	59,918	32,220	24,142	25,874
Payables turnover		12.56	14.56	26.08	23.83	17.01

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $1,109,680K ÷ $88,326K
= 12.56

Axon Enterprise Inc's payables turnover ratio has exhibited a declining trend over the past five years, decreasing from 8.64 in 2019 to 6.88 in 2023. This indicates that the company took longer to pay its suppliers in 2023 compared to previous years. A decrease in the payables turnover ratio may suggest that the company is taking longer to settle its accounts payable, which could potentially strain relationships with suppliers or indicate liquidity issues. It is essential for the company to closely monitor and manage its payables turnover ratio to ensure efficient working capital management and maintain healthy supplier relationships.