Brady Corporation (BRC)

The payables turnover ratios for Brady Corporation over the specified fiscal periods demonstrate a generally consistent trend with slight fluctuations. As of July 31, 2021, the payables turnover stood at 7.10, indicating that the company paid its suppliers approximately 7.10 times during the fiscal year. This ratio increased to 8.27 by July 31, 2022, reflecting a faster payment cycle and possibly improved liquidity or more efficient management of accounts payable. The upward trend continued into the subsequent year, reaching 8.45 as of July 31, 2023, signaling an even higher frequency of payments to suppliers.

However, in the following year, the ratio declined to 7.72 by July 31, 2024, suggesting a slight slowdown in the payment cycle. This decrease could be attributable to strategic changes such as extended payment terms, shifts in supplier negotiations, or liquidity management considerations. The ratio continued to trend downward, falling to 7.17 as of July 31, 2025, which indicates a further elongation in the accounts payable cycle compared to the previous years.

Overall, the changes in the payables turnover ratio reflect periods of improvement and contraction in payment efficiency. The initial increase from 2021 to 2023 suggests enhanced liquidity management or operational efficiency in settling obligations. The subsequent decline from 2023 onwards indicates a trend toward lengthening the accounts payable period, which could impact cash flow management but may also reflect strategic supplier relationship adjustments or broader market conditions affecting payment practices.