Fair Isaac Corporation (FICO)

Payables turnover

		Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019
Cost of revenue	US$ in thousands	311,053	302,174	332,462	361,142	336,845
Payables	US$ in thousands	19,009	17,273	20,749	23,033	23,118
Payables turnover		16.36	17.49	16.02	15.68	14.57

September 30, 2023 calculation

Payables turnover = Cost of revenue ÷ Payables
= $311,053K ÷ $19,009K
= 16.36

The payables turnover ratio for Fair, Isaac Corp. has been relatively stable over the past five years, averaging around 16.82. This ratio indicates the company's efficiency in managing its trade payables, as it measures how many times during a period the company pays off its average accounts payable balance. The downward trend in the payables turnover ratio from 2019 to 2020 suggests a potential slowdown in the company's ability to pay off its suppliers, although it has subsequently improved. Overall, the company's payables turnover indicates a consistent ability to efficiently manage its payment obligations to suppliers over the years.