Bill Com Holdings Inc (BILL)

Payables turnover

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Cost of revenue	US$ in thousands	1,063,890	1,039,610	738,959	267,347	142,650
Payables	US$ in thousands	7,447	8,519	9,948	11,904	3,478
Payables turnover		142.86	122.03	74.28	22.46	41.01

June 30, 2024 calculation

Payables turnover = Cost of revenue ÷ Payables
= $1,063,890K ÷ $7,447K
= 142.86

Based on the data provided, the payables turnover ratio for Bill Com Holdings Inc has shown significant fluctuations over the years.

In June 2020, the payables turnover was 41.01 times, indicating that the company paid off its accounts payable 41.01 times during the year. This could suggest that the company managed its accounts payable efficiently.

However, in June 2021, the payables turnover decreased to 22.46 times, showing a slower rate of paying off its accounts payable. This could indicate either a change in the company's payment terms or a lag in managing its payables effectively.

The payables turnover ratio then surged to 74.28 times in June 2022, indicating a notable improvement in the company's ability to settle its accounts payable more frequently. This could signify better cash management or negotiation of better payment terms with suppliers.

By June 2023, the payables turnover ratio further rose to 122.03 times, indicating that the company was paying off its accounts payable at an even faster rate, showcasing efficient working capital management.

In the most recent period of June 2024, the payables turnover ratio reached 142.86 times, demonstrating a significant increase in the speed at which the company is managing its payables. This could suggest that the company has a strong cash position or effective control over its accounts payable.

Overall, the trend in the payables turnover ratio for Bill Com Holdings Inc fluctuated, but generally showed improvements over the years, indicating varying degrees of efficiency in managing accounts payable and potentially reflecting positive changes in the company's financial management and supplier relationships.