Johnson Controls International PLC (JCI)
Payables turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 21,752,000 | 25,690,000 | 24,604,000 | 21,642,000 | 22,322,000 |
| Payables | US$ in thousands | 3,389,000 | 3,498,000 | 4,368,000 | 3,746,000 | 3,120,000 |
| Payables turnover | 6.42 | 7.34 | 5.63 | 5.78 | 7.15 |
September 30, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $21,752,000K ÷ $3,389,000K
= 6.42
The payables turnover ratio for Johnson Controls International PLC has fluctuated over the past five years. In 2024, the company's payables turnover ratio was 6.42, indicating that the company paid off its accounts payable approximately 6.42 times during the year. This represents a decrease from the previous year's ratio of 7.34.
A decreasing payables turnover ratio may suggest that the company is taking longer to pay its suppliers, which could indicate potential liquidity issues or unfavorable payment terms. It is important for the company to closely monitor its payables turnover ratio to ensure efficient management of its accounts payable and maintain positive relationships with its suppliers.
Peer comparison
Sep 30, 2024