Domino's Pizza Inc Common Stock (DPZ)
Payables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 2,857,910 | 2,751,940 | 2,888,550 | 2,669,130 | 2,522,920 |
| Payables | US$ in thousands | 85,898 | 106,267 | 89,715 | 91,547 | 94,499 |
| Payables turnover | 33.27 | 25.90 | 32.20 | 29.16 | 26.70 |
December 31, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $2,857,910K ÷ $85,898K
= 33.27
The payables turnover ratio for Domino's Pizza Inc Common Stock has shown a general upward trend over the past five years. From the data provided, it can be observed that the payables turnover ratio increased steadily from 26.70 in 2020 to 33.27 in 2024.
This indicates that Domino's Pizza Inc has been managing its accounts payables more efficiently over the years, as the company is taking less time to pay off its suppliers compared to previous years. A higher payables turnover ratio suggests that the company is able to convert its accounts payable into cash quickly, which is a positive sign of effective cash management.
Overall, the increasing trend in the payables turnover ratio for Domino's Pizza Inc Common Stock reflects positively on the company's ability to effectively manage its payables and suggests good financial health and operational efficiency.
Peer comparison
Dec 31, 2024