Crane Company (CR)
Payables turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | ||
|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 1,797,900 | |||
| Payables | US$ in thousands | 179,100 | 150,500 | 158,800 | 152,700 |
| Payables turnover | 10.04 |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,797,900K ÷ $179,100K
= 10.04
Based on the provided data, Crane Company's payables turnover ratio as of December 31, 2023, stands at 10.04. This implies that, on average, the company pays off its accounts payable approximately 10.04 times during the year. A high payables turnover ratio suggests that the company effectively manages its accounts payable by settling them quickly, indicating strong liquidity and possibly good relationships with suppliers. This could lead to favorable credit terms and discounts on purchases. It is also important to consider industry norms and trends when interpreting this ratio to gain a comprehensive view of Crane Company's payment practices and financial health.
Peer comparison
Dec 31, 2023