Brinker International Inc (EAT)

Payables turnover

Jun 30, 2025 Mar 31, 2025 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 Dec 23, 2020
Cost of revenue (ttm) US$ in thousands 4,608,400 3,477,400 4,118,700 3,953,300 3,875,400 3,738,200 3,673,400 3,641,900 3,633,100 3,638,200 3,552,100 3,464,600 3,346,200 3,242,600 3,099,900 2,998,200 2,496,300 2,316,600 1,877,200 1,691,900
Payables US$ in thousands — 185,600 163,500 152,100 160,600 150,500 148,900 141,700 125,700 163,700 142,200 146,500 134,300 131,400 118,800 112,400 127,700 121,400 101,700 101,700
Payables turnover — 18.74 25.19 25.99 24.13 24.84 24.67 25.70 28.90 22.22 24.98 23.65 24.92 24.68 26.09 26.67 19.55 19.08 18.46 16.64

June 30, 2025 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $4,608,400K ÷ $—K
= —

The payables turnover ratio for Brinker International Inc. demonstrates notable fluctuations over the analyzed period, reflecting changes in the company’s payment practices and supply chain management strategies.

In the fiscal year ending December 31, 2020, the ratio was 18.46, indicating the company turned over its payables approximately 18.5 times within the year. This ratio decreased slightly to 16.64 in December 2020, which could suggest a lengthening of the payment period or a strategic shift toward more extended supplier terms.

From March to June 2021, there was a gradual increase in the ratio, reaching 19.55 by June 30, 2021, indicating a quicker payment cycle or improved liquidity position. This upward trend continued and significantly accelerated by September 30, 2021, where the ratio spiked to 26.67, implying the company paid its suppliers more promptly during this period.

The ratio remained relatively stable through the end of 2021, fluctuating slightly around 26, with a marginal decrease to 24.68 in March 2022 and a slight increase to 24.92 by June 2022. During this period, the company's payment practices appeared consistent, maintaining a steady liquidity relationship with suppliers.

In the subsequent quarters, the ratio experienced minor variations—lower at 23.65 in September 2022, rising again to 24.98 at year-end 2022, before dropping to 22.22 in March 2023. A notable increase occurred in June 2023, reaching 28.90, the highest observed in the period, suggesting an accelerated payment cycle or potentially negotiated extended terms that temporarily increased the turnover rate.

Following this peak, the ratio declined to 25.70 in September 2023 and slightly decreased further to 24.67 at the close of 2023. In early 2024, the ratio maintained levels around 24.8, then showed a decreasing trend in the subsequent quarters—down to 18.74 in March 2025. This decline could signify a lengthening of the payables period, possibly indicative of strategic payment deferrals or liquidity management amid changing operational conditions.

Overall, the payables turnover ratio exhibits significant variation over time, with periods of both rapid and slower payment cycles. These fluctuations may reflect strategic adjustments in supplier payment policies, liquidity management, or supply chain dynamics. The recent downward trend towards 18.74 suggests a move toward lengthening the average payment period, which warrants further analysis in the context of the company's cash flow and working capital strategies.