Baxter International Inc (BAX)
Payables turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 16,080,000 | 18,332,000 | 11,536,000 | 10,557,000 | 10,845,000 |
| Payables | US$ in thousands | 1,241,000 | 1,110,000 | 1,246,000 | 1,043,000 | 892,000 |
| Payables turnover | 12.96 | 16.52 | 9.26 | 10.12 | 12.16 |
December 31, 2023 calculation
Payables turnover = Cost of revenue ÷ Payables
= $16,080,000K ÷ $1,241,000K
= 12.96
The payables turnover ratio of Baxter International Inc. has shown some fluctuation over the past five years. The company's payables turnover ratio was 7.93 in 2023, a decrease from 8.53 in 2022. This indicates that the company took longer to pay its suppliers in 2023 compared to 2022.
In 2021, the payables turnover ratio was 6.16, an improvement from 6.79 in 2020. This suggests that the company was more efficient in paying its suppliers in 2021 compared to 2020.
Overall, Baxter International Inc. has maintained a relatively stable payables turnover ratio over the past five years, indicating that the company is managing its accounts payable effectively. The fluctuations in the ratio may be influenced by various factors such as changes in payment terms with suppliers, changes in the company's purchasing practices, or shifts in the company's industry dynamics.
Peer comparison
Dec 31, 2023