Coty Inc (COTY)

Payables turnover

		Jun 30, 2024	Mar 31, 2024	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
Cost of revenue (ttm)	US$ in thousands	5,458,300	5,348,900	5,286,500	5,119,900	4,895,200	4,861,100	4,741,600	4,745,900	4,901,500	4,777,200	4,654,100	4,671,900	4,463,500	3,391,700	4,139,600	5,070,900	5,842,500	10,617,300	10,771,700	11,809,800
Payables	US$ in thousands	1,405,600	1,250,100	1,462,900	1,375,400	1,444,700	1,407,700	1,489,700	1,229,700	1,268,300	1,280,500	1,394,300	1,232,500	1,166,100	1,051,800	1,154,300	1,086,300	1,190,300	1,422,100	1,574,800	1,548,100
Payables turnover		3.88	4.28	3.61	3.72	3.39	3.45	3.18	3.86	3.86	3.73	3.34	3.79	3.83	3.22	3.59	4.67	4.91	7.47	6.84	7.63

June 30, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $5,458,300K ÷ $1,405,600K
= 3.88

The payables turnover ratio for Coty Inc has exhibited fluctuations over the past few quarters. The ratio indicates how efficiently the company is managing its accounts payable by measuring the number of times a company pays off its average accounts payable balance during a period.

From December 2019 to September 2020, the payables turnover ratio ranged between 4.67 and 7.47, indicating that Coty Inc was efficiently managing its payables during this period. The ratio then decreased in subsequent quarters, reaching a low of 3.18 in December 2022.

However, in the most recent quarter ending June 30, 2024, the payables turnover ratio increased to 3.88, showing an improvement compared to the previous quarter. This suggests that the company may have been more effective in managing its payables during this period.

Overall, while the payables turnover ratio has been somewhat volatile, the recent increase indicates a potential improvement in Coty Inc's ability to manage its accounts payable efficiently. It would be important to monitor future quarters to see if this trend continues or if there are any significant shifts in the company's payables management.