The Cheesecake Factory (CAKE)

Payables turnover

		Jan 31, 2025	Dec 31, 2024	Jan 31, 2024	Dec 31, 2023	Jan 31, 2023
Cost of revenue	US$ in thousands	806,021	1,661,610	2,031,400	1,605,720	2,022,880
Payables	US$ in thousands	—	62,092	—	63,152	—
Payables turnover		—	26.76	—	25.43	—

January 31, 2025 calculation

Payables turnover = Cost of revenue ÷ Payables
= $806,021K ÷ $—K
= —

The payables turnover ratio for The Cheesecake Factory indicates the efficiency with which the company is managing its accounts payable. The formula for the payables turnover ratio is Cost of Goods Sold divided by Average Accounts Payable.

Based on the provided data:

- As of December 31, 2023, the payables turnover ratio is 25.43.
- As of December 31, 2024, the payables turnover ratio is 26.76.

There is no data available for January 31, 2023, January 31, 2024, and January 31, 2025.

A higher payables turnover ratio generally indicates that the company is taking less time to pay off its suppliers, which can be a sign of good liquidity and strong supplier relationships. It shows that the company is efficiently managing its payables.

However, it is important to note that extremely high payables turnover ratios could sometimes indicate that the company is stretching payments to suppliers too far, which may strain relationships in the long term. It is always beneficial for a company to maintain a balance in managing its payables to ensure smooth operations.