CSW Industrials Inc (CSWI)
Payables turnover
| Dec 31, 2024 | Sep 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 473,546 | 460,989 | 449,658 | 442,095 | 435,214 | 439,523 | 437,374 | 439,690 | 430,306 | 411,255 | 393,244 | 372,403 | 350,842 | 315,192 | 278,862 | 234,406 | 208,788 | 204,219 | 201,935 | 208,821 |
| Payables | US$ in thousands | 52,842 | 63,191 | 55,025 | 48,387 | 43,421 | 47,114 | 46,252 | 40,651 | 42,031 | 50,261 | 51,826 | 47,836 | 39,530 | 37,785 | 43,227 | 32,444 | 25,667 | 20,736 | 23,288 | 21,978 |
| Payables turnover | 8.96 | 7.30 | 8.17 | 9.14 | 10.02 | 9.33 | 9.46 | 10.82 | 10.24 | 8.18 | 7.59 | 7.78 | 8.88 | 8.34 | 6.45 | 7.22 | 8.13 | 9.85 | 8.67 | 9.50 |
December 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $473,546K ÷ $52,842K
= 8.96
The payables turnover ratio is a financial metric that measures how efficiently a company is managing its accounts payable. It is calculated by dividing the total purchases made on credit by the average accounts payable balance over a specific period.
For CSW Industrials Inc, the payables turnover has fluctuated over the analyzed period. It was at its highest of 10.82 for the quarter ending March 31, 2023, indicating that the company paid off its suppliers more than ten times during that period. On the other hand, it reached its lowest of 6.45 for the quarter ending June 30, 2021.
The general trend shows some variability but with the ratio mostly staying above 7, suggesting that the company is effectively managing its accounts payable and paying off creditors in a timely manner. However, a decrease in the payables turnover ratio could also indicate inefficiencies in working capital management or potential liquidity issues that may require further analysis. It is essential to review this ratio in conjunction with other financial metrics to gain a comprehensive understanding of CSW Industrials Inc's financial health and operational efficiency.
Peer comparison
Dec 31, 2024