Broadridge Financial Solutions Inc (BR)

Payables turnover

		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	Sep 30, 2019
Cost of revenue (ttm)	US$ in thousands	5,963,100	5,599,800	5,571,800	5,521,800	5,476,800	5,507,000	5,443,500	5,461,200	5,367,400	5,171,300	4,949,500	4,644,500	4,465,700	4,251,500	4,124,600	4,091,000	3,991,800	3,887,800	3,855,400	3,788,700
Payables	US$ in thousands	314,000	158,100	136,500	143,200	157,300	183,800	169,800	167,100	244,900	197,500	192,200	156,900	248,900	182,300	131,600	120,000	151,800	146,500	92,700	89,600
Payables turnover		18.99	35.42	40.82	38.56	34.82	29.96	32.06	32.68	21.92	26.18	25.75	29.60	17.94	23.32	31.34	34.09	26.30	26.54	41.59	42.28

June 30, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $5,963,100K ÷ $314,000K
= 18.99

Broadridge Financial Solutions Inc's payables turnover ratio has fluctuated over the last few quarters, indicating varying efficiency in managing its trade payables. The ratio has generally ranged between 17.94 and 42.28 times annually, with the most recent data showing a payables turnover of 18.99 for June 30, 2024.

A high payables turnover ratio typically suggests that the company is efficiently managing its accounts payable by paying suppliers quickly, which can indicate strong liquidity and good relationships with vendors. On the other hand, a lower ratio may indicate that the company is taking longer to pay its suppliers, potentially signaling cash flow or liquidity issues.

It's important to note that interpreting the payables turnover ratio in isolation may not provide a complete picture of the company's financial health and performance. It should be analyzed in conjunction with other financial ratios and factors to assess the overall efficiency and effectiveness of Broadridge Financial Solutions Inc's operations.