Bill Com Holdings Inc (BILL)

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
Cost of revenue (ttm)	US$ in thousands	1,038,040	1,034,507	1,040,272	1,069,648	1,050,708	1,069,678	1,039,608	994,262	955,883	862,691	772,664	683,686	528,301	376,664	267,322	183,548	167,376	153,772
Payables	US$ in thousands	5,723	11,181	7,447	6,824	8,772	6,491	8,519	9,144	14,262	11,508	9,948	9,433	11,770	13,142	11,904	4,320	5,076	6,566
Payables turnover		181.38	92.52	139.69	156.75	119.78	164.79	122.03	108.73	67.02	74.96	77.67	72.48	44.89	28.66	22.46	42.49	32.97	23.42

December 31, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,038,040K ÷ $5,723K
= 181.38

Bill Com Holdings Inc's payables turnover has shown fluctuations over the past few years. The payables turnover ratio indicates how efficiently the company is managing its accounts payable by evaluating how many times during a period the company pays off its average accounts payable balance.

From September 2020 to December 2024, the payables turnover ratio ranged from a low of 22.46 to a high of 181.38. This signifies a significant variability in the company's ability to manage its payables efficiently. Generally, a higher payables turnover ratio indicates that the company is paying off its suppliers more frequently, which can be a positive sign of effective cash management and strong supplier relationships.

The payables turnover ratio increased steadily from September 2020 to March 2024, more than doubling over this period. However, there was a sharp decline in the ratio from March 2024 to September 2024, indicating a potential change in the company's payment practices or possible challenges in managing its payables effectively during that period.

Overall, further analysis is needed to understand the reasons behind the fluctuations in the payables turnover ratio and assess the impact on the company's financial performance and working capital management.