Dycom Industries Inc (DY)
Payables turnover
| Jan 27, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Jan 25, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 3,709,290 | 3,469,040 | 2,913,810 | 2,975,620 | 319,998 |
| Payables | US$ in thousands | 222,121 | 207,739 | 155,896 | 158,966 | 119,612 |
| Payables turnover | 16.70 | 16.70 | 18.69 | 18.72 | 2.68 |
January 27, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $3,709,290K ÷ $222,121K
= 16.70
The payables turnover ratio for Dycom Industries, Inc. has shown a declining trend over the past five years. In January 2020, the payables turnover ratio was at its highest at 23.24, indicating that the company was able to pay off its accounts payable obligations approximately 23.24 times during the year. However, the ratio has since decreased, with the latest ratio reported in January 2024 at 15.14.
The decreasing trend in payables turnover may suggest that Dycom Industries, Inc. is taking longer to pay off its accounts payable compared to previous years. This could be due to various reasons such as changes in payment terms with suppliers, changes in business operations, or cash flow management considerations.
It is important for investors and analysts to further investigate the reasons behind the decreasing payables turnover ratio to assess the company's liquidity, working capital management, and relationships with suppliers. Additionally, comparing the payables turnover ratio to industry benchmarks and peer companies can provide more insights into Dycom Industries, Inc.'s financial performance and operational efficiency in managing its accounts payable.
Peer comparison
Jan 27, 2024