General Mills Inc (GIS)

Payables turnover

		May 31, 2025	Feb 28, 2025	Nov 30, 2024	Aug 31, 2024	May 31, 2024	May 26, 2024	Feb 29, 2024	Feb 25, 2024	Nov 30, 2023	Nov 26, 2023	Aug 31, 2023	Aug 27, 2023	May 31, 2023	May 28, 2023	Feb 28, 2023	Feb 26, 2023	Nov 30, 2022	Nov 27, 2022	Aug 31, 2022	Aug 28, 2022
Cost of revenue (ttm)	US$ in thousands	14,195,200	12,697,000	12,642,200	12,725,000	13,735,600	14,083,500	15,242,700	14,985,100	14,772,900	14,701,200	13,800,100	14,127,000	14,557,100	14,770,900	15,763,700	15,572,500	15,225,900	14,831,600	13,658,200	13,522,300
Payables	US$ in thousands	4,009,500	3,692,300	4,068,800	3,823,400	3,987,800	3,987,800	3,613,500	3,613,500	3,824,400	3,824,400	3,705,800	3,705,800	4,194,200	4,194,200	3,868,200	3,868,200	4,022,600	4,022,600	3,786,300	3,786,300
Payables turnover		3.54	3.44	3.11	3.33	3.44	3.53	4.22	4.15	3.86	3.84	3.72	3.81	3.47	3.52	4.08	4.03	3.79	3.69	3.61	3.57

May 31, 2025 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $14,195,200K ÷ $4,009,500K
= 3.54

The payables turnover ratio for General Mills Inc exhibits a general upward trend from August 2022 through February 2024, indicating an increasing frequency of paying its suppliers within a given period. Specifically, the ratio rises from 3.57 times in late August 2022 to a peak of 4.22 times in late February 2024, suggesting the company is settling its payables more quickly over this time frame.

This increasing trend implies a potential improvement in liquidity management or a strategic effort to reduce accounts payable turnover period. The ratio demonstrates some fluctuations; for instance, after reaching 4.22 in February 2024, there is a slight decrease during the subsequent period, with the ratio declining to 3.33 in August 2024. Post-2024, the ratio continues to fluctuate but remains relatively stable, with values ranging roughly from 3.11 to around 3.86 up to November 2024, indicating a potential stabilization of the company's payables payment practices.

Overall, the data reflects a pattern of increasing payables turnover through early 2024, followed by a period of stabilization and minor fluctuations. This pattern can suggest a strategic approach to managing supplier relationships and working capital efficiency. The ratios consistently hover within a moderate range, indicating a balanced approach to settling liabilities without overly delaying payments or paying too swiftly.