Corcept Therapeutics Incorporated (CORT)

Payables turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cost of revenue	US$ in thousands	191,205	158,233	127,637	110,908	105,863
Payables	US$ in thousands	17,396	11,976	6,908	10,554	7,537
Payables turnover		10.99	13.21	18.48	10.51	14.05

December 31, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $191,205K ÷ $17,396K
= 10.99

Corcept Therapeutics Inc's payables turnover has shown some fluctuations over the past five years. The payables turnover ratio measures how efficiently the company is managing its trade payables by comparing the purchases made on credit to the average accounts payable during a period.

In 2023, the payables turnover ratio decreased to 0.37 from 0.45 in 2022, indicating that the company took longer to pay off its trade payables compared to the previous year. This could potentially signify a less efficient management of accounts payable during the year.

Comparing the current ratio to that of previous years, it is evident that the company's payables turnover has been declining since the higher ratio of 0.76 in 2021. The decreasing trend from 2021 to 2023 could imply that Corcept Therapeutics Inc may be taking longer to pay its suppliers or possibly negotiating less favorable credit terms.

Overall, the declining trend in payables turnover over the past few years could raise concerns about the company's liquidity management and relationships with its suppliers. Further analysis and investigation into the company's payables management practices and financial position may be warranted to better understand the reasons behind the fluctuating payables turnover ratios.