Bill Com Holdings Inc (BILL)

Payables turnover

		Jun 30, 2025	Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021
Cost of revenue	US$ in thousands	272,103	234,616	193,977	145,004	61,806
Payables	US$ in thousands	16,293	7,447	8,519	9,948	11,904
Payables turnover		16.70	31.50	22.77	14.58	5.19

June 30, 2025 calculation

Payables turnover = Cost of revenue ÷ Payables
= $272,103K ÷ $16,293K
= 16.70

The payables turnover ratio for Bill Com Holdings Inc exhibits a notable upward trend over the analyzed period. As of June 30, 2021, the ratio stood at 5.19, indicating a relatively conservative approach to settling accounts payable relative to purchases or cost of goods sold. By June 30, 2022, this ratio increased substantially to 14.58, reflecting an improved efficiency or a shift toward more rapid turnover of payables. The upward trajectory continued into June 30, 2023, with the ratio reaching 22.77, further emphasizing an accelerating cycle of paying suppliers.

The ratio peaked at 31.50 as of June 30, 2024, suggesting that the company was settling its payables more quickly or reducing outstanding liabilities in relation to its purchases. However, this trend slightly reversed in the subsequent year, with the ratio declining to 16.70 as of June 30, 2025. This reduction may indicate a strategic slowdown in payment velocity, potentially due to changes in supplier payment terms, liquidity considerations, or shifts in purchase planning.

Overall, the data reflects a significant increase in the company's payables turnover from 2021 through 2024, signaling enhanced efficiency in managing accounts payable or altered payment practices. The subsequent decrease in 2025 warrants further analysis to determine underlying causes, such as liquidity management strategies or operational adjustments impacting the company's payables cycle.