CommVault Systems Inc (CVLT)

Payables turnover

		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	Jun 30, 2019
Cost of revenue (ttm)	US$ in thousands	641,281	626,531	622,717	612,306	614,486	614,856	608,068	604,225	585,598	582,465	581,911	625,552	628,935	493,467	373,781	223,533	117,078	124,158	122,488	118,120
Payables	US$ in thousands	299	214	136	284	108	459	200	884	432	248	178	136	374	622	253	152	307	1,069	1,744	971
Payables turnover		2,144.75	2,927.71	4,578.80	2,156.01	5,689.69	1,339.56	3,040.34	683.51	1,355.55	2,348.65	3,269.16	4,599.65	1,681.64	793.36	1,477.40	1,470.61	381.36	116.14	70.23	121.65

March 31, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $641,281K ÷ $299K
= 2,144.75

CommVault Systems Inc's payables turnover ratio has shown significant fluctuations over the past few quarters. The payables turnover ratio measures how efficiently a company is managing its accounts payable by comparing the cost of goods sold to the average accounts payable during a certain period.

The payables turnover ratio for CommVault Systems Inc has ranged from as low as 70.23 in September 2019 to as high as 5,689.69 in March 2023. A high payables turnover ratio indicates that the company is paying off its suppliers quickly, which could be a sign of strong cash management. On the other hand, a low payables turnover ratio suggests that the company is taking longer to pay its suppliers, which could indicate cash flow issues or strained supplier relationships.

It is important to note that a single ratio does not provide a complete picture of a company's financial health, and it is advisable to analyze the ratio in conjunction with other financial metrics and qualitative factors. In the case of CommVault Systems Inc, the fluctuating payables turnover ratios may indicate varying strategies in managing supplier relationships and cash flow throughout the periods under review.