Hilton Worldwide Holdings Inc (HLT)
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 | 561,000 | 606,000 | 604,000 | 605,000 | 593,000 | 546,000 | 542,000 | 537,000 | 544,000 | 558,000 | 579,000 | 580,000 | 593,000 | 754,000 | 766,000 | 826,000 | 941,000 | 836,000 | 864,000 | 859,000 |
| Payables | US$ in thousands | 409,000 | — | — | — | 457,000 | — | — | — | 368,000 | — | — | — | 274,000 | — | — | — | 224,000 | — | — | — |
| Payables turnover | 1.37 | — | — | — | 1.30 | — | — | — | 1.48 | — | — | — | 2.16 | — | — | — | 4.20 | — | — | — |
December 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $561,000K ÷ $409,000K
= 1.37
The payables turnover ratio for Hilton Worldwide Holdings Inc has shown fluctuations over the periods presented. As per the data provided, the ratio was not calculable for the quarters ending March 31, 2020, June 30, 2020, September 30, 2020, March 31, 2021, June 30, 2021, September 30, 2021, March 31, 2022, June 30, 2022, and September 30, 2022.
However, the payables turnover ratio was 4.20 for the quarter ending December 31, 2020, indicating that Hilton converted its accounts payable into purchases four times during that period. Subsequently, the ratio declined to 2.16 for the quarter ending December 31, 2021, and further decreased to 1.48 for the quarter ending December 31, 2022.
The downward trend in the payables turnover ratio could suggest that Hilton is taking longer to pay its suppliers or is managing its payables less efficiently. A decreasing payables turnover ratio may indicate potential liquidity issues or changes in payment terms with suppliers that warrant further investigation and monitoring by stakeholders.
It is important for analysts and investors to monitor changes in the payables turnover ratio over time to assess Hilton's ability to manage its accounts payable effectively and to understand its relationships with suppliers.
Peer comparison
Dec 31, 2024
See also:
Hilton Worldwide Holdings Inc Payables Turnover (Quarterly Data)