ESCO Technologies Inc (ESE)
Payables turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 622,741 | 580,377 | 525,457 | 445,045 | 458,311 |
| Payables | US$ in thousands | 98,371 | 86,973 | 78,746 | 56,669 | 50,525 |
| Payables turnover | 6.33 | 6.67 | 6.67 | 7.85 | 9.07 |
September 30, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $622,741K ÷ $98,371K
= 6.33
ESCO Technologies Inc's payables turnover has shown a decreasing trend over the past five years, with values of 6.33 in 2024, 6.67 in 2023 and 2022, 7.85 in 2021, and 9.07 in 2020. A decreasing trend in payables turnover may indicate that the company is taking longer to pay its suppliers, which could potentially strain vendor relationships or result in missed discounts for prompt payment. It is important for the company to manage its payables effectively to maintain healthy supplier relationships and optimize cash flow. However, further analysis is needed to understand the specific reasons behind the decreasing trend and to assess the overall efficiency of the company's payables management.
Peer comparison
Sep 30, 2024