Church & Dwight Company Inc (CHD)
Payables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 3,317,000 | 3,279,400 | 3,125,600 | 2,926,600 | 2,681,600 |
| Payables | US$ in thousands | 705,100 | 630,600 | 666,700 | 663,800 | 588,100 |
| Payables turnover | 4.70 | 5.20 | 4.69 | 4.41 | 4.56 |
December 31, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $3,317,000K ÷ $705,100K
= 4.70
The payables turnover ratio for Church & Dwight Company Inc has shown a mixed trend over the past five years. Starting at 4.56 in December 2020, the ratio decreased slightly to 4.41 in December 2021. However, it then increased to 4.69 in December 2022, further rising to 5.20 in December 2023, indicating the company is managing its payables more efficiently during these periods. However, in December 2024, the ratio dropped to 4.70.
A higher payables turnover ratio suggests that the company is paying off its suppliers more quickly, which could indicate stronger cash flow management or negotiating better payment terms. It is important to assess this ratio in conjunction with other financial metrics to gain a more comprehensive view of the company's liquidity and financial health.
Peer comparison
Dec 31, 2024