Integra LifeSciences Holdings (IART)

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	1,546,449	1,500,852	1,468,535	1,414,673	1,387,983	1,353,185	1,320,159	1,290,343	1,277,573	1,298,051	1,306,436	1,312,094	1,314,932	968,259	956,898	868,540	838,523	1,161,829	1,189,389	1,279,783
Payables	US$ in thousands	82,502	77,666	107,492	94,397	92,326	93,550	99,766	112,785	102,100	80,732	69,498	88,371	61,837	59,600	65,512	61,500	54,608	50,254	58,291	97,061
Payables turnover		18.74	19.32	13.66	14.99	15.03	14.46	13.23	11.44	12.51	16.08	18.80	14.85	21.26	16.25	14.61	14.12	15.36	23.12	20.40	13.19

December 31, 2024 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $1,546,449K ÷ $82,502K
= 18.74

Based on the data provided for Integra LifeSciences Holdings payables turnover over the specified time periods, we can observe fluctuations in the efficiency of the company in managing its accounts payable.

The payables turnover ratio indicates how many times a company pays off its accounts payable during a specific period. A high payables turnover ratio generally suggests that the company is paying its suppliers quickly, which could be a sign of strong liquidity or good supplier relationships. Conversely, a low ratio may indicate that the company is taking longer to pay its bills.

Analyzing the trend in Integra LifeSciences Holdings payables turnover, we can see that there have been fluctuations in the ratio over the past few years. The ratio ranged from a low of 11.44 in March 2023 to a high of 23.12 in September 2020. Notably, there was a general upward trend in the ratio from September 2020 to September 2021, which indicates an improvement in the company's ability to manage its payables during that period.

However, post-September 2021, there was some volatility in the payables turnover ratio, with fluctuations observed in subsequent quarters. It is important to further investigate the reasons behind these fluctuations to understand the company's payment practices and working capital management.

In conclusion, the analysis of Integra LifeSciences Holdings payables turnover ratio highlights the company's varying efficiency in managing its accounts payable over the specified time period, indicating the need for continued monitoring and potential operational adjustments to optimize working capital management.