Baxter International Inc (BAX)
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 | 15,888,000 | 15,894,000 | 18,405,000 | 17,889,000 | 18,000,000 | 17,497,000 | 13,585,000 | 12,714,000 | 11,536,000 | 7,891,000 | 7,667,000 | 7,400,000 | 7,227,000 | 6,400,000 | 6,252,000 | 6,322,000 | 6,198,000 | 9,230,000 | 9,238,000 | 9,167,000 |
| Payables | US$ in thousands | 1,241,000 | 1,246,000 | 1,240,000 | 1,290,000 | 1,110,000 | 1,234,000 | 1,282,000 | 1,223,000 | 1,246,000 | 999,000 | 1,005,000 | 1,023,000 | 1,043,000 | — | — | — | 892,000 | — | — | — |
| Payables turnover | 12.80 | 12.76 | 14.84 | 13.87 | 16.22 | 14.18 | 10.60 | 10.40 | 9.26 | 7.90 | 7.63 | 7.23 | 6.93 | — | — | — | 6.95 | — | — | — |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $15,888,000K ÷ $1,241,000K
= 12.80
Based on the data provided, Baxter International Inc.'s payables turnover ratio fluctuated over the past eight quarters. The payables turnover ratio measures how efficiently a company pays off its suppliers.
In Q4 2023, the payables turnover ratio was 7.93, slightly lower than the previous quarter's 7.96. This indicates that Baxter International Inc. took approximately 7.93 times to pay off its accounts payable during that quarter.
The company's payables turnover ratio ranged from a low of 6.74 in Q1 2022 to a high of 8.53 in Q4 2022. Generally, a higher payables turnover ratio suggests that the company is managing its accounts payable more efficiently, potentially improving cash flow and relationships with suppliers.
Overall, Baxter International Inc.'s payables turnover has shown fluctuations but has generally been within a reasonable range over the past two years. Further analysis, including comparison with industry peers and trends over time, may provide additional insights into the company's financial health and operational efficiency.
Peer comparison
Dec 31, 2023