Haemonetics Corporation (HAE)

Payables turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Cost of revenue (ttm)	US$ in thousands	1,140,747	1,090,469	1,052,482	1,022,423	995,675	974,344	938,969	901,797	913,230	907,672	887,138	857,275	811,111	811,195	848,731	891,313	963,513	965,320	948,502	941,885
Payables	US$ in thousands	73,358	56,845	80,160	78,134	63,929	63,769	61,484	57,907	58,371	51,175	44,969	49,131	50,293	42,979	49,071	48,459	50,730	52,298	57,449	60,792
Payables turnover		15.55	19.18	13.13	13.09	15.57	15.28	15.27	15.57	15.65	17.74	19.73	17.45	16.13	18.87	17.30	18.39	18.99	18.46	16.51	15.49

March 31, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,140,747K ÷ $73,358K
= 15.55

The payables turnover ratio of Haemonetics Corporation over the last 20 quarters has varied between 13.09 and 19.73, indicating differences in how quickly the company is able to pay off its accounts payable.

A higher payables turnover ratio suggests that the company is paying off its creditors more quickly, which can be a favorable sign of strong liquidity and efficient management of working capital. Conversely, a lower payables turnover ratio may indicate that the company is taking longer to settle its payables, which could potentially strain its cash flow and relationships with suppliers.

Analyzing the trend of Haemonetics Corporation's payables turnover ratio over time, we observe fluctuations in the ratio, indicating changes in the company's ability to manage its accounts payable efficiently. It is essential to consider the reasons behind these fluctuations, such as changes in payment terms, purchasing practices, or supplier relationships, to gain a deeper understanding of the company's financial health and liquidity management.