Alphabet Inc Class C (GOOG)
Payables turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 146,306,000 | 143,268,000 | 140,023,000 | 136,432,000 | 133,332,000 | 131,099,000 | 129,028,000 | 127,216,000 | 126,203,000 | 123,849,000 | 120,312,000 | 116,435,000 | 110,939,000 | 104,031,000 | 97,527,000 | 89,853,000 | 84,732,000 | 79,672,000 | 76,123,000 | 74,866,000 |
| Payables | US$ in thousands | 7,987,000 | 7,049,000 | 6,092,000 | 6,198,000 | 7,493,000 | 5,803,000 | 5,313,000 | 4,184,000 | 5,128,000 | 6,303,000 | 4,409,000 | 3,436,000 | 6,037,000 | 4,616,000 | 4,708,000 | 4,801,000 | 5,589,000 | 4,391,000 | 4,064,000 | 4,099,000 |
| Payables turnover | 18.32 | 20.32 | 22.98 | 22.01 | 17.79 | 22.59 | 24.29 | 30.41 | 24.61 | 19.65 | 27.29 | 33.89 | 18.38 | 22.54 | 20.72 | 18.72 | 15.16 | 18.14 | 18.73 | 18.26 |
December 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $146,306,000K ÷ $7,987,000K
= 18.32
The payables turnover ratio for Alphabet Inc Class C has exhibited fluctuations over the period from March 31, 2020, to December 31, 2024. The payables turnover ratio measures how efficiently a company pays its suppliers. A higher turnover ratio indicates that the company is paying its suppliers more frequently.
Alphabet Inc Class C's payables turnover ratio started at 18.26 on March 31, 2020, and increased steadily to 33.89 by March 31, 2022, which indicates that the company was paying its suppliers at a significantly higher rate during this period. However, the ratio decreased to 17.79 by December 31, 2023, before slightly recovering to 18.32 by the end of December 31, 2024.
The overall trend in the payables turnover ratio suggests that Alphabet Inc Class C has been managing its payables effectively, with periodic fluctuations in the rate at which it pays its suppliers. It's essential for the company to strike a balance between maintaining good relationships with suppliers and optimizing its cash flow by managing its payables efficiently.
Peer comparison
Dec 31, 2024