WW Grainger Inc (GWW)
Payables turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of revenue (ttm) | US$ in thousands | 14,016,000 | 13,847,000 | 13,645,000 | 13,427,000 | 13,130,000 | 12,797,000 | 12,392,000 | 11,962,000 | 11,566,000 | 11,242,000 | 10,946,000 | 10,705,000 | 11,000,000 | 11,000,000 | 10,971,000 | 10,852,000 | 10,281,000 | 10,088,000 | 10,125,180 | 10,142,350 |
| Payables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
December 31, 2023 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $14,016,000K ÷ $—K
= —
The payables turnover ratio for W.W. Grainger Inc. has shown some fluctuations over the past eight quarters. It indicates how many times a company pays off its accounts payable during a specific period. A higher payables turnover ratio generally suggests that the company is paying its suppliers more frequently, which can indicate strong liquidity or good negotiation terms.
Looking at the data provided:
- In Q4 2023, the payables turnover ratio increased to 10.46, indicating that Grainger paid off its accounts payable more frequently compared to the previous quarter.
- This increase follows a decreasing trend from Q3 to Q2 2023. However, the ratio was still higher than in Q1 2023.
- In the prior year, the payables turnover ratio fluctuated but generally remained within the range of 8.26 to 8.96.
Overall, the increasing trend in the most recent quarter suggests that Grainger has been managing its payables more efficiently and promptly. However, it is essential to delve deeper into the company's financial performance and industry benchmarks to gain a more comprehensive understanding of its payables management and overall financial health.