Helen of Troy Ltd (HELE)
Payables turnover
| Feb 29, 2024 | Feb 28, 2023 | Feb 28, 2022 | Feb 28, 2021 | Feb 29, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,762,790 | 1,879,200 | 1,963,590 | 1,834,950 | 1,550,450 |
| Payables | US$ in thousands | 245,349 | 190,598 | 308,178 | 334,807 | 152,674 |
| Payables turnover | 7.18 | 9.86 | 6.37 | 5.48 | 10.16 |
February 29, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $1,762,790K ÷ $245,349K
= 7.18
Helen of Troy Ltd's payables turnover has fluctuated over the past five years, with the highest value of 10.16 in 2020 and the lowest value of 5.48 in 2021. The payables turnover ratio indicates how efficiently the company is managing its accounts payable by paying off its suppliers. A higher turnover ratio suggests that the company is paying its suppliers more frequently, which could be a sign of strong liquidity and good relationships with suppliers. Conversely, a lower turnover ratio may indicate inefficiencies in managing payables or difficulties in meeting payment obligations. Overall, Helen of Troy Ltd's payables turnover has shown variability over the years, and further analysis is needed to understand the underlying reasons for these fluctuations.