Carnival Corporation (CCL)

Payables turnover

		Nov 30, 2024	Nov 30, 2023	Nov 30, 2022	Nov 30, 2021	Nov 30, 2020
Cost of revenue	US$ in thousands	15,638,000	14,317,000	11,757,000	4,952,000	8,182,000
Payables	US$ in thousands	1,133,000	1,168,000	1,050,000	797,000	624,000
Payables turnover		13.80	12.26	11.20	6.21	13.11

November 30, 2024 calculation

Payables turnover = Cost of revenue ÷ Payables
= $15,638,000K ÷ $1,133,000K
= 13.80

To analyze Carnival Corporation's payables turnover, we calculate the payables turnover ratio using the formula:

Payables Turnover = Cost of Goods Sold / Average Accounts Payable

Using the given data:

- For November 30, 2020: Payables turnover ratio is 13.11
- For November 30, 2021: Payables turnover ratio is 6.21
- For November 30, 2022: Payables turnover ratio is 11.20
- For November 30, 2023: Payables turnover ratio is 12.26
- For November 30, 2024: Payables turnover ratio is 13.80

A higher payables turnover ratio indicates that the company is paying its suppliers more frequently, which could be a sign of efficient cash management. Conversely, a lower ratio may suggest that the company is taking longer to pay its suppliers, potentially straining supplier relationships.

Overall, Carnival Corporation's payables turnover has fluctuated over the years, showing a downward trend from 2019 to 2021 followed by an increase in subsequent years. This could be due to changes in the company's payment policies or the overall industry dynamics. Further analysis is recommended to understand the underlying reasons for these fluctuations and their impact on the company's financial performance.