DoorDash, Inc. Class A Common Stock (DASH)

Payables turnover

		Mar 31, 2025	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
Cost of revenue (ttm)	US$ in thousands	5,852,000	5,682,000	5,458,000	5,240,000	4,850,000	4,589,000	4,374,000	4,149,000	3,894,000	3,588,000	3,209,000	2,863,000	2,538,000	2,338,000	2,172,000	1,969,000	1,737,000	1,368,000	1,069,000
Payables	US$ in thousands	329,000	321,000	191,000	163,000	203,000	216,000	149,000	173,000	208,000	157,000	238,000	207,000	203,000	161,000	86,000	96,000	75,000	80,000	31,000
Payables turnover		17.79	17.70	28.58	32.15	23.89	21.25	29.36	23.98	18.72	22.85	13.48	13.83	12.50	14.52	25.26	20.51	23.16	17.10	34.48

March 31, 2025 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $5,852,000K ÷ $329,000K
= 17.79

The payables turnover ratio for DoorDash, Inc. Class A Common Stock exhibits notable fluctuations over the analyzed period from September 2020 through March 2025. Initially, the ratio peaked at 34.48 in September 2020, indicating a relatively high rate of payables turnover, suggesting prompt payments to suppliers or relatively quick settlement cycles during that period. Subsequently, a decline was observed, with the ratio dropping to 17.10 by the end of 2020 and further decreasing to 14.52 by the end of 2021, reflecting a slower rate of paying suppliers, potentially due to extended credit terms or changes in payment practices.

During 2022, the ratio experienced some variability, reaching as low as 12.50 in March 2022 before gradually increasing to 23.98 by mid-2023. This upward trend indicates an improvement in the company’s payables management, perhaps due to better cash flow management or negotiated shorter payment terms. A significant rise is noted again in September 2023, with the ratio reaching 29.36, underscoring a period of more aggressive settlement with payables, before decreasing again to 21.25 by the end of 2023.

In the most recent data from 2024 and into early 2025, the ratio witnesses periods of both increase and decline, with a notable peak of 32.15 in June 2024, suggesting an aggressive payment cycle or improved operational efficiency, followed by a decrease to 17.70 in December 2024 and a slight uptick to 17.79 in March 2025.

Overall, the payables turnover ratio demonstrates variability driven by strategic changes in payment practices, supplier credit terms, and cash flow management. Higher ratios typically indicate faster payment cycles, which may reflect strong liquidity or a desire to maintain supplier relationships, while lower ratios could suggest extended payment periods, possibly due to cash flow management strategies or supplier credit terms. The observed fluctuations highlight dynamic operational and financial management tactics over the analyzed period.