Dolby Laboratories (DLB)
Payables turnover
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 140,496 | 142,052 | 147,904 | 150,176 | 152,566 | 154,193 | 148,635 | 143,101 | 141,360 | 134,880 | 130,567 | 127,430 | 130,025 | 141,791 | 140,035 | 144,487 | 146,498 | 149,993 | 159,795 | 159,540 |
| Payables | US$ in thousands | 17,380 | 16,413 | 19,727 | 14,395 | 20,925 | 15,395 | 17,170 | 17,361 | 14,171 | 16,821 | 11,373 | 19,104 | 17,779 | 12,187 | 8,385 | 13,631 | 12,617 | 10,047 | 9,041 | 13,700 |
| Payables turnover | 8.08 | 8.65 | 7.50 | 10.43 | 7.29 | 10.02 | 8.66 | 8.24 | 9.98 | 8.02 | 11.48 | 6.67 | 7.31 | 11.63 | 16.70 | 10.60 | 11.61 | 14.93 | 17.67 | 11.65 |
September 30, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $140,496K ÷ $17,380K
= 8.08
Dolby Laboratories' payables turnover ratio measures how efficiently the company pays its suppliers. A higher payables turnover ratio indicates that the company is paying its suppliers more frequently, potentially reflecting strong liquidity or effective management of working capital.
Analyzing Dolby Laboratories' payables turnover over the past periods, we observe fluctuations in the ratio. The ratio ranged from a low of 6.67 in March 2022 to a high of 17.67 in March 2020, indicating variability in the company's payables management over time.
The decreasing trend in payables turnover from 2020 to 2023 suggests that Dolby Laboratories may have been extending payment terms with its suppliers during this period. However, the ratio rebounded in the most recent quarters, showing an improvement in the efficiency of payables management.
Overall, Dolby Laboratories' payables turnover ratio has fluctuated but generally remains within a reasonable range, indicating that the company has been managing its payables effectively and maintaining a balance between preserving cash and maintaining supplier relationships. However, further analysis and comparison with industry benchmarks may provide additional insights into the company's payables management performance.
Peer comparison
Sep 30, 2024