Axalta Coating Systems Ltd (AXTA)
Payables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 4,679,000 | 4,527,600 | 4,564,600 | 4,082,000 | 3,545,100 |
| Payables | US$ in thousands | 659,000 | 725,000 | 733,500 | 657,400 | 564,400 |
| Payables turnover | 7.10 | 6.24 | 6.22 | 6.21 | 6.28 |
December 31, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $4,679,000K ÷ $659,000K
= 7.10
Axalta Coating Systems Ltd has exhibited relatively consistent payables turnover ratios over the years, ranging from 6.21 to 7.10. This indicates that the company is able to effectively manage its accounts payable by settling obligations within a reasonable time frame. The increase in the payables turnover ratio from 6.21 in December 31, 2021, to 7.10 in December 31, 2024, suggests that Axalta has been more efficient in paying its suppliers and managing its working capital. Overall, a stable and improving payables turnover ratio signifies good liquidity management and healthy supplier relationships at Axalta Coating Systems Ltd.
Peer comparison
Dec 31, 2024