Gen Digital Inc. (GEN)

Payables turnover

		Mar 31, 2025	Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021
Cost of revenue	US$ in thousands	776,000	731,000	589,000	408,000	362,000
Payables	US$ in thousands	—	66,000	77,000	63,000	52,000
Payables turnover		—	11.08	7.65	6.48	6.96

March 31, 2025 calculation

Payables turnover = Cost of revenue ÷ Payables
= $776,000K ÷ $—K
= —

The payables turnover ratio measures how efficiently a company manages its accounts payable by evaluating how many times a company pays off its suppliers during a specific period.

For Gen Digital Inc., the payables turnover has shown a fluctuating trend over the past five years. In March 2021, the payables turnover was 6.96, indicating that the company paid off its suppliers approximately 6.96 times during that year.

Subsequently, there was a slight decrease in the payables turnover to 6.48 in March 2022, suggesting a potential elongation in the payment period to suppliers or possibly a change in purchasing strategies.

However, there was a notable improvement in payables turnover to 7.65 in March 2023, indicating that the company managed to pay off its suppliers more frequently during that year compared to the previous period.

The payables turnover ratio increased substantially to 11.08 in March 2024, signifying a significant improvement in the company's ability to efficiently manage its accounts payable.

Unfortunately, there is no data available for March 31, 2025, which prevents a complete assessment of the company's payables turnover for that period.

Overall, an increasing payables turnover ratio generally portrays efficient management of payables as the company is paying its suppliers promptly. However, it's essential to analyze other financial metrics and external factors to gain a comprehensive understanding of Gen Digital Inc.'s financial health and operational efficiency.