Intel Corporation (INTC)
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 | 48,931,000 | 47,865,000 | 39,869,000 | 39,196,000 | 38,973,000 | 40,898,000 | 41,813,000 | 43,549,000 | 44,161,000 | 33,221,000 | 32,172,000 | 30,921,000 | 33,574,000 | 44,221,000 | 44,061,000 | 44,368,000 | 41,506,000 | 40,649,000 | 40,182,000 | 37,955,000 |
| Payables | US$ in thousands | 12,556,000 | 11,074,000 | 9,618,000 | 8,559,000 | 8,578,000 | 8,669,000 | 8,757,000 | 8,083,000 | 9,595,000 | 7,133,000 | 7,945,000 | 7,210,000 | 5,747,000 | 6,792,000 | 5,917,000 | 5,434,000 | 5,581,000 | 5,159,000 | 5,045,000 | 4,638,000 |
| Payables turnover | 3.90 | 4.32 | 4.15 | 4.58 | 4.54 | 4.72 | 4.77 | 5.39 | 4.60 | 4.66 | 4.05 | 4.29 | 5.84 | 6.51 | 7.45 | 8.16 | 7.44 | 7.88 | 7.96 | 8.18 |
December 31, 2024 calculation
Payables turnover = Cost of revenue (ttm) ÷ Payables
= $48,931,000K ÷ $12,556,000K
= 3.90
The payables turnover ratio for Intel Corporation has shown a declining trend over the analyzed period from March 31, 2020, to December 31, 2024. The ratio indicates how efficiently the company manages its payments to suppliers or trade payables.
Initially, the payables turnover ratio was relatively high at 8.18 in March 2020, showing that Intel was paying its suppliers approximately 8.18 times a year. However, the ratio gradually decreased to 3.90 by December 31, 2024. This decline may suggest that Intel was taking longer to pay its suppliers over time.
A decreasing payables turnover ratio can have various implications. It could indicate that Intel is stretching out its payables to suppliers, potentially to manage cash flow or liquidity issues. However, this could also strain supplier relationships if payment terms are extended excessively.
Investors and analysts may view a declining payables turnover ratio as a red flag, prompting further investigation into Intel's payment practices and financial health. It is essential for stakeholders to understand the reasons behind the trend in payables turnover to assess the company's overall financial performance and relationships with suppliers.
Peer comparison
Dec 31, 2024