Becton Dickinson and Company (BDX)

Payables turnover

		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	Dec 31, 2019
Cost of revenue (ttm)	US$ in thousands	17,612,000	18,530,000	18,624,000	18,481,000	18,186,000	16,806,000	16,551,000	16,684,000	16,820,000	17,071,000	17,308,000	17,211,000	17,158,000	15,202,000	13,081,000	11,407,000	9,540,000	9,280,000	9,360,000	9,062,000
Payables	US$ in thousands	1,896,000	—	—	—	1,641,000	—	—	—	1,699,000	—	—	—	1,739,000	—	—	—	1,355,000	—	—	—
Payables turnover		9.29	—	—	—	11.08	—	—	—	9.90	—	—	—	9.87	—	—	—	7.04	—	—	—

September 30, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $17,612,000K ÷ $1,896,000K
= 9.29

The payables turnover ratio for Becton Dickinson and Company has been relatively consistent over the past few quarters, with values ranging from 7.04 to 11.08. This ratio indicates that the company is managing its accounts payable effectively, as it shows how many times a company pays off its average accounts payable balance during a period.

A higher payables turnover ratio suggests that the company is paying off its suppliers more frequently, which can indicate strong liquidity and potentially favorable payment terms. On the other hand, a lower ratio may indicate that the company is taking longer to pay its suppliers or may have inefficiencies in its payables management.

It would be beneficial to compare Becton Dickinson's payables turnover ratio with industry benchmarks or historical data to gain a better understanding of the company's payables management efficiency and potential trends over time.