Deckers Outdoor Corporation (DECK)
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 | 3,371,044 | 3,233,148 | 3,143,718 | 3,024,211 | 2,977,276 | 2,942,981 | 2,857,543 | 2,703,481 | 2,588,207 | 2,442,171 | 2,293,733 | 2,194,933 | 2,046,267 | 1,897,074 | 1,830,939 | 1,781,092 | 1,796,581 | 1,801,656 | 1,747,769 | 1,714,196 |
| Payables | US$ in thousands | 378,503 | 507,161 | 476,868 | 523,014 | 265,605 | 487,354 | 482,928 | 604,104 | 327,487 | 482,059 | 497,125 | 393,635 | 231,632 | 303,013 | 312,932 | 253,557 | 147,892 | 244,767 | 313,387 | 300,103 |
| Payables turnover | 8.91 | 6.37 | 6.59 | 5.78 | 11.21 | 6.04 | 5.92 | 4.48 | 7.90 | 5.07 | 4.61 | 5.58 | 8.83 | 6.26 | 5.85 | 7.02 | 12.15 | 7.36 | 5.58 | 5.71 |
March 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $3,371,044K ÷ $378,503K
= 8.91
Deckers Outdoor Corporation's payables turnover ratio shows how efficiently the company is managing its accounts payable by measuring how quickly it pays off its suppliers. A higher payables turnover ratio indicates that the company is able to pay off its suppliers quickly.
Analyzing the trend in Deckers Outdoor Corporation's payables turnover over the past few quarters, we observe fluctuations. The payables turnover ratio ranged from 4.48 to 12.15, indicating variability in the company's ability to manage its payables efficiently.
The highest payables turnover ratio of 12.15 was recorded in March 2020, suggesting that during that period, Deckers Outdoor Corporation was particularly effective at paying off its suppliers quickly. On the other hand, the lowest ratio of 4.48 was observed in June 2022, indicating a slower rate of paying off suppliers during that quarter.
Overall, the average payables turnover ratio for the period under review was approximately 6.71. This suggests that on average, Deckers Outdoor Corporation takes around 6.71 times to pay off its accounts payable over the period studied.
It is important for stakeholders to monitor the payables turnover ratio as it provides insights into the company's liquidity, efficiency in managing working capital, and relationships with suppliers. Stakeholders should consider both the absolute value of the ratio and its trend over time to gain a comprehensive understanding of the company's financial health.
Peer comparison
Mar 31, 2024
See also:
Deckers Outdoor Corporation Payables Turnover (Quarterly Data)