Best Buy Co. Inc (BBY)
Payables turnover
| Feb 1, 2025 | Nov 2, 2024 | Aug 3, 2024 | May 4, 2024 | Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 32,143,000 | 32,758,000 | 33,054,000 | 33,315,000 | 33,849,000 | 33,999,000 | 34,730,000 | 35,409,000 | 36,386,000 | 37,643,000 | 38,496,000 | 39,493,000 | 40,121,000 | 40,463,000 | 40,413,000 | 39,014,000 | 36,689,000 | 35,256,000 | 33,601,000 | 33,214,000 |
| Payables | US$ in thousands | 4,980,000 | 7,145,000 | 5,542,000 | 4,664,000 | 4,637,000 | 7,133,000 | 5,471,000 | 4,874,000 | 5,687,000 | 7,056,000 | 5,406,000 | 5,492,000 | 6,803,000 | 8,405,000 | 6,946,000 | 6,360,000 | 6,979,000 | 9,110,000 | 6,613,000 | 4,428,000 |
| Payables turnover | 6.45 | 4.58 | 5.96 | 7.14 | 7.30 | 4.77 | 6.35 | 7.26 | 6.40 | 5.33 | 7.12 | 7.19 | 5.90 | 4.81 | 5.82 | 6.13 | 5.26 | 3.87 | 5.08 | 7.50 |
February 1, 2025 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $32,143,000K ÷ $4,980,000K
= 6.45
The payables turnover ratio of Best Buy Co. Inc has shown fluctuations over the period from May 2, 2020, to February 1, 2025. The payables turnover ratio measures how efficiently the company is managing its accounts payable by evaluating how quickly it pays off its suppliers.
During this period, the payables turnover ratio ranged from a high of 7.50 on May 2, 2020, to a low of 3.87 on October 31, 2020. A higher ratio indicates that the company is paying off its suppliers more quickly, which can be seen during some periods of the analysis.
Overall, there seems to be some variability in the payables turnover ratio across the different reporting periods. This variability could be due to changes in the company's payment terms with suppliers, changes in its purchasing patterns, or even external factors impacting its supply chain. It is important for investors and analysts to monitor this ratio over time to understand how effectively Best Buy Co. Inc is managing its payables and maintaining relationships with its suppliers.