Five Below Inc (FIVE)

Payables turnover

		Feb 3, 2024	Oct 28, 2023	Jul 29, 2023	Apr 29, 2023	Jan 28, 2023	Oct 29, 2022	Jul 30, 2022	Apr 30, 2022	Jan 29, 2022	Oct 30, 2021	Jul 31, 2021	May 1, 2021	Jan 30, 2021	Oct 31, 2020	Aug 1, 2020	May 2, 2020	Feb 1, 2020	Nov 2, 2019	Aug 3, 2019	May 4, 2019
Cost of revenue (ttm)	US$ in thousands	3,127,632	3,070,291	2,974,109	2,886,638	2,794,861	2,709,849	2,660,645	2,608,115	2,540,244	2,404,987	2,282,456	2,115,038	1,850,948	1,702,030	1,614,418	1,602,821	1,665,692	1,395,553	1,348,112	1,247,661
Payables	US$ in thousands	256,275	349,340	249,093	234,492	221,120	279,836	266,114	230,282	196,461	253,817	167,704	169,392	138,622	237,647	121,372	137,480	130,242	188,061	108,667	112,460
Payables turnover		12.20	8.79	11.94	12.31	12.64	9.68	10.00	11.33	12.93	9.48	13.61	12.49	13.35	7.16	13.30	11.66	12.79	7.42	12.41	11.09

February 3, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $3,127,632K ÷ $256,275K
= 12.20

The payables turnover ratio for Five Below Inc has shown some fluctuations over the past 20 reported periods. The payables turnover ratio measures how efficiently a company is managing its accounts payable by indicating how many times a company pays off its suppliers during a specific period.

From the data provided, we observe that the payables turnover ratio has generally been on the higher side, ranging from 7.16 to 13.61 times, indicating that Five Below Inc has been relatively efficient in paying off its suppliers promptly.

There are some fluctuations in the ratio, with the highest value of 13.61 reported in July 2021 and the lowest of 7.16 reported in August 2020. These variations could be due to changes in the company's purchasing and payment patterns, supplier terms, or overall business conditions.

Overall, the trend of the payables turnover ratio for Five Below Inc suggests that the company has been effectively managing its accounts payable and has maintained a consistent level of efficiency in this area over the analyzed periods.