Deckers Outdoor Corporation (DECK)
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 | 3,784,949 | 3,597,469 | 3,458,529 | 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 |
| Payables | US$ in thousands | 586,371 | 536,581 | 642,595 | 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 |
| Payables turnover | 6.45 | 6.70 | 5.38 | 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 |
December 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $3,784,949K ÷ $586,371K
= 6.45
Deckers Outdoor Corporation's payables turnover ratio has shown fluctuations over the past few years. The ratio represents how many times a company pays off its accounts payable during a specific period.
From March 31, 2020, to December 31, 2020, the payables turnover declined from 12.15 to 6.26, indicating a reduction in the company's ability to pay off its suppliers within a year. This could be a sign of stretched payables or inefficient working capital management during this period.
In the subsequent quarters, there were further decreases in the payables turnover ratio until June 30, 2021, where the ratio stood at 5.58, signaling continued challenges in managing payables efficiently.
However, from March 31, 2021, to March 31, 2022, the payables turnover ratio showed an improving trend, reaching 7.90 by the end of March 2022. This suggests that Deckers Outdoor Corporation was able to enhance its payables management and pay off its suppliers more frequently during this period.
The ratio continued to fluctuate in the following quarters, with peaks and troughs observed. Notably, as of September 30, 2024, the payables turnover stood at 6.70, indicating a moderate improvement in managing payables compared to the previous periods.
Overall, Deckers Outdoor Corporation's payables turnover ratio has displayed volatility, with periods of both improvement and decline. It is essential for the company to maintain an optimal balance in managing payables to ensure efficient working capital utilization and strong supplier relationships.
Peer comparison
Dec 31, 2024
See also:
Deckers Outdoor Corporation Payables Turnover (Quarterly Data)