Buckle Inc (BKE)

Payables turnover

		Feb 3, 2024	Jan 28, 2023	Jan 29, 2022	Jan 30, 2021	Feb 1, 2020
Cost of revenue	US$ in thousands	990,043	1,017,060	959,108	733,256	768,757
Payables	US$ in thousands	45,958	44,835	59,950	43,399	26,491
Payables turnover		21.54	22.68	16.00	16.90	29.02

February 3, 2024 calculation

Payables turnover = Cost of revenue ÷ Payables
= $990,043K ÷ $45,958K
= 21.54

The payables turnover ratio for Buckle Inc has fluctuated over the past five fiscal years. In the most recent fiscal year ending on February 3, 2024, the company's payables turnover ratio was 21.54 times, indicating that Buckle Inc paid its accounts payable approximately 21.54 times during the year. This represents a decrease from the previous year's ratio of 22.68 times, suggesting a slight decrease in the speed of paying its suppliers.

Comparing the current ratio to the ratios of the prior years, we observe that the payables turnover ratio has been relatively stable, albeit with some fluctuations. The ratio was highest in February 2020 at 29.02 times, indicating that Buckle Inc was paying its suppliers at a faster pace during that period.

Overall, the trend in the payables turnover ratio suggests that Buckle Inc has been effectively managing its accounts payable turnover in recent years, albeit with some variability. This ratio is important as it reflects the efficiency and effectiveness of the company's ability to manage its working capital and relationships with suppliers.