Belden Inc (BDC)
Payables turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,538,757 | 1,467,409 | 1,442,126 | 1,495,513 | 1,557,118 | 1,624,834 | 1,671,040 | 1,684,369 | 1,690,196 | 1,681,632 | 1,651,171 | 1,591,428 | 1,529,417 | 1,425,814 | 1,332,677 | 1,223,045 | 1,176,570 | 1,223,059 | 1,249,105 | 1,317,514 |
| Payables | US$ in thousands | 315,724 | 306,745 | 260,857 | 263,627 | 343,215 | 304,851 | 290,382 | 295,049 | 350,058 | 297,759 | 349,446 | 359,811 | 377,765 | 321,253 | 299,428 | 250,426 | 244,120 | 211,269 | 188,970 | 220,195 |
| Payables turnover | 4.87 | 4.78 | 5.53 | 5.67 | 4.54 | 5.33 | 5.75 | 5.71 | 4.83 | 5.65 | 4.73 | 4.42 | 4.05 | 4.44 | 4.45 | 4.88 | 4.82 | 5.79 | 6.61 | 5.98 |
December 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,538,757K ÷ $315,724K
= 4.87
The payables turnover ratio for Belden Inc has fluctuated over the periods provided. It ranged from a high of 6.61 in June 2020 to a low of 4.05 in December 2021. The payables turnover ratio measures how efficiently a company is managing its outstanding payables by calculating how many times a company pays off its average accounts payable balance during a period.
A higher payables turnover ratio indicates that the company is paying off its suppliers more frequently, which might suggest strong liquidity or effective management of trade credit terms. Conversely, a lower ratio could indicate that the company is taking longer to pay its suppliers, which may have implications for supplier relationships or cash flow management.
Belden Inc's payables turnover ratio has generally trended downward from mid-2021 to the end of 2024, indicating a lengthening of the payment cycle or potentially a decrease in the frequency of paying off suppliers. This could be a strategic decision to manage cash flow, renegotiate payment terms with suppliers, or may signal challenges in liquidity management.
Overall, a detailed analysis of the reasons behind the changes in the payables turnover ratio would require further information on Belden Inc's operations, financial performance, and management strategies.
Peer comparison
Dec 31, 2024