Kadant Inc (KAI)
Payables turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 897,364 | 797,947 | 763,124 | 684,550 | 562,255 |
| Payables | US$ in thousands | 51,062 | 42,104 | 58,060 | 59,250 | 32,264 |
| Payables turnover | 17.57 | 18.95 | 13.14 | 11.55 | 17.43 |
December 31, 2024 calculation
Payables turnover = Cost of revenue ÷ Payables
= $897,364K ÷ $51,062K
= 17.57
Using the provided data, the payables turnover for Kadant Inc has fluctuated over the past five years. In December 2020, the payables turnover was 17.43, indicating that the company was able to convert its accounts payable into cash 17.43 times during that year.
However, the payables turnover decreased in December 2021 to 11.55, suggesting that the company took longer to pay off its suppliers or had a higher level of accounts payable relative to its purchases.
Subsequently, there was a slight improvement in December 2022 with a payables turnover of 13.14, but it was still below the 2020 levels.
In December 2023, the payables turnover significantly increased to 18.95, indicating that Kadant Inc efficiently managed its accounts payable by paying off suppliers more frequently during that period.
Lastly, in December 2024, the payables turnover was 17.57, showing a continued strong performance in managing accounts payable turnover.
Overall, the trend in payables turnover for Kadant Inc reflects some fluctuations but generally demonstrates effectiveness in managing payments to suppliers, with a noted improvement in 2023 compared to 2021 and 2022.
Peer comparison
Dec 31, 2024