Green Plains Renewable Energy Inc (GPRE)

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	2,328,346	2,382,918	2,613,591	2,867,680	3,103,838	3,345,726	3,491,284	3,577,507	3,525,011	3,396,969	3,170,291	2,888,385	2,625,109	2,392,379	2,095,820	1,887,166	2,058,970	2,276,010	2,510,889	3,009,134
Payables	US$ in thousands	154,817	108,227	109,329	123,573	186,643	138,350	105,094	128,557	234,301	123,035	127,163	106,308	146,063	112,459	102,404	92,972	140,058	89,566	93,566	96,053
Payables turnover		15.04	22.02	23.91	23.21	16.63	24.18	33.22	27.83	15.04	27.61	24.93	27.17	17.97	21.27	20.47	20.30	14.70	25.41	26.84	31.33

December 31, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $2,328,346K ÷ $154,817K
= 15.04

The payables turnover ratio for Green Plains Renewable Energy Inc has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio measures how efficiently the company is managing its trade payables by comparing the purchases made during a period to the average accounts payable outstanding during that same period.

The payables turnover ratio ranged from a high of 33.22 times in June 30, 2023, to a low of 14.70 times in December 31, 2020. A higher turnover ratio indicates that the company is paying off its suppliers more frequently and effectively, which can be a positive sign of strong liquidity and good vendor relationships. Conversely, a lower turnover ratio may suggest longer payment cycles or potential issues with cash flow management or supplier relations.

In the latter part of the period, the payables turnover ratio generally increased from the low in December 31, 2020, reaching a peak in March 31, 2023, before experiencing a slight decline by December 31, 2024. This trend could indicate improvements in the company's payables management efficiency.

It is important for investors and stakeholders to monitor the payables turnover ratio along with other financial metrics to assess Green Plains Renewable Energy Inc's financial health and operational effectiveness in managing its accounts payable effectively.