Huntington Ingalls Industries Inc (HII)
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 | 1,027,000 | 1,109,000 | 1,110,000 | 1,093,000 | 1,086,000 | 1,014,000 | 1,005,000 | 994,000 | 994,000 | 1,023,000 | 1,027,000 | 1,017,000 | 984,000 | 955,000 | 942,000 | 954,000 | 960,000 | 954,000 | 940,000 | 907,000 |
| Payables | US$ in thousands | 598,000 | 579,000 | 652,000 | 608,000 | 554,000 | 535,000 | 519,000 | 505,000 | 642,000 | 539,000 | 528,000 | 544,000 | 603,000 | 508,000 | 349,000 | 397,000 | 460,000 | 429,000 | 437,000 | 536,000 |
| Payables turnover | 1.72 | 1.92 | 1.70 | 1.80 | 1.96 | 1.90 | 1.94 | 1.97 | 1.55 | 1.90 | 1.95 | 1.87 | 1.63 | 1.88 | 2.70 | 2.40 | 2.09 | 2.22 | 2.15 | 1.69 |
December 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,027,000K ÷ $598,000K
= 1.72
The payables turnover ratio for Huntington Ingalls Industries Inc has shown some fluctuations over the past few years. The ratio measures how efficiently the company is managing its trade payables by indicating how many times the company pays off its suppliers in a given period.
From March 31, 2020, to June 30, 2021, there was a consistent increase in the payables turnover ratio, signaling that the company was paying off its suppliers more frequently during this period. This may suggest improved efficiency in managing its payables or possibly negotiating better payment terms with suppliers.
However, from September 30, 2021, to December 31, 2024, the payables turnover ratio fluctuated within a range, indicating some variability in the company's payment practices. The ratios during this period were generally lower compared to the earlier trend, suggesting that the company may be taking longer to pay its suppliers or experiencing challenges in managing its payables efficiently.
Overall, the payables turnover ratio for Huntington Ingalls Industries Inc has shown some volatility, and a thorough analysis of the company's payables management practices and relationships with suppliers would be needed to fully understand the implications of these fluctuations on the company's financial performance and working capital management.
Peer comparison
Dec 31, 2024