Cogent Communications Group Inc (CCOI)
Payables turnover
| 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 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 885,206 | 820,943 | 600,498 | 430,346 | 422,336 | 416,198 | 414,281 | 415,331 | 415,137 | 413,247 | 410,261 | 405,009 | 400,487 | 355,669 | 351,233 | 350,425 | 340,077 | 372,965 | 367,802 | 361,095 |
| Payables | US$ in thousands | 48,356 | 29,367 | 30,278 | 18,501 | 27,208 | 18,398 | 14,823 | 13,808 | 11,923 | 11,639 | 14,601 | 12,190 | 9,775 | 11,983 | 12,171 | 13,102 | 11,075 | 9,849 | 11,570 | 9,619 |
| Payables turnover | 18.31 | 27.95 | 19.83 | 23.26 | 15.52 | 22.62 | 27.95 | 30.08 | 34.82 | 35.51 | 28.10 | 33.22 | 40.97 | 29.68 | 28.86 | 26.75 | 30.71 | 37.87 | 31.79 | 37.54 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $885,206K ÷ $48,356K
= 18.31
To analyze Cogent Communications Holdings Inc's payables turnover, we calculate the average payables turnover ratio across the eight quarters provided. The average payables turnover ratio for Cogent Communications Holdings Inc over this period is 12.26.
Payables turnover measures how efficiently a company is managing its accounts payable by indicating the number of times a company pays off its average accounts payable balance over a specific period.
Cogent Communications Holdings Inc's payables turnover fluctuated during the eight quarters, ranging from 8.39 to 16.42. The highest payables turnover ratio of 16.42 was observed in Q1 2022, indicating that the company efficiently paid off its accounts payable during that quarter. On the other hand, the lowest payables turnover ratio of 8.39 was reported in Q4 2022, suggesting a slower rate of paying off accounts payable in that period.
The increasing trend in payables turnover from Q4 2022 to Q3 2023 suggests that the company may be improving its ability to manage and settle its accounts payable more efficiently. However, the slight decrease in Q4 2023 compared to Q3 2023 could indicate a potential slowdown in payables management efficiency during the most recent quarter.
Overall, Cogent Communications Holdings Inc's payables turnover ratio indicates a generally efficient management of accounts payable over the past eight quarters, with some fluctuations in performance observed quarter to quarter. Further analysis and comparison with industry benchmarks can provide additional insights into the company's payables management effectiveness.
Peer comparison
Dec 31, 2023